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Rumor: Xbox LIVE Diamond TV service to be announced at E3

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With E3 set to kick off in less than 48 hours, rumors are once again flying about Microsoft's press conference news. A report at WinRumors pins Microsoft as revealing an Xbox Live-based streaming television service in the US, previously rumored to be codenamed "Orapa" (after a diamond mining town in Botswana, Africa). Further, the report suggests that the codename has been changed into something more fitting, given its eponymy: "Diamond." And no, not that Microsoft product named Diamond.

"Microsoft is currently in last minute negotiations to secure the necessary agreements in time," WinRumors' anonymous source added. The source details "Diamond" as a facsimile of the UK's SkyTV player currently offered on Xbox 360, though no specific networks are named, and adds that the service will likely come with a monthly subscription fee.

Microsoft previously indicated its intentions to get into streaming television on the Xbox 360, but has never made any major moves. The company flirted with a Conan O'Brien deal in 2010, but the plans eventually fizzled. If "Diamond" really does exist, though, we're sure to hear about it tomorrow morning during Microsoft's E3 2011 presser.





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