Rumors are circulating behind the scenes that Microsoft may be planning a low cost Xbox based console for the TV. An insider confirmed to Kitguru this morning that it could very well happen in 2013.
Additionally, news from The Verge yesterday said that “multiple sources familiar with Redmond's plans' were discussing the release.
The system is said to be based on Windows 8 and will be a low cost alternative option to the next generation Microsoft console, designed to play ‘casual' games rather than the high demand AAA titles planned for release in the future.
Microsoft are also wanting to compete against Apple TV, which is gathering a following now. Microsoft already have streaming via Xbox Music and are planning on further expansion.
Kitguru says: Microsoft are obviously denying all the rumors, and they won't release any statement until it is officially announced.