It seems Microsoft will be joining the likes of Google, Apple, Netflix and others in offering consumers online video streams via their living room screens. Insiders told Reuters the company is in talks with TV service providers to create a subscription-based television service on its Xbox gaming console.

Though a Microsoft TV service may not arrive for another year, early discussions revolve around offering interactive functions that would allow users to message friends while they watch programs, reports Reuters. The TV service would also enable social media functions and create new interactive advertising units for marketers.

At present, there is no indication that consumers will be able to conduct Bing searches while they watch programs, though Google TV lets consumers surf the web from their sofas. This means standard search marketing campaigns – SEO and paid – may not benefit from Microsoft TV.

Nonetheless, marketers will want to see what types of interactive ads develop for Microsoft's television service. Recently, more than 2.5 million Kinect motion gaming units for Xbox units were sold, revealing that Microsoft reaches a wide user base with its Xbox 360. Simultaneously, Brafton has reported that Microsoft is moving up in online video rankings as consumers increasingly turn to streaming videos on the internet to view their favorite films and shows.