Microsoft and Netflix are teaming up to provide yet another way for customers to watch streamed movies on their TV sets. The new capability is scheduled to launch this fall. But to be able to use it, customers will not only have to have an Xbox 360, they must also be subscribers to both the Xbox Live Gold service and Netflix. However, customers who meet those criteria can use the new capability at no extra cost. The Netflix titles available will be the same as those that can be watched "instantly" on a PC. But Netflix already offers a way to stream that same set of titles to a TV set, namely by using a special-purpose set-top box made by Roku. Digital distribution is still in its early stages, and other companies competing in this arena include Apple and Vudu.

