Looks like the recent rumors were true. Microsoft has announced a new streaming TV implementation for the Xbox 360 today. The Kinect and Bing-powered voice search which can pull in content from online sources like Hulu, Netflix and Xbox Live Marketplace, will also work with live TV from IPTV partners.
Great news for the console. Right now that list only includes Sky in the UK, Foxtel in Australia and Canal+ in France, but users there will be able to search across those services and view them directly through the console. No info on any US-based partners.