Microsoft is reported to be busy establishing a paid television service for Xbox 360 that would stream platform-exclusive shows and content.
US chat-show giant Conan O'Brien was approached by Microsoft but turned down the deal because there were too many unknowns.
"The Xbox thing - a lot of the conversations were 'well, it's a show, but it's not a show and there are no breaks, but maybe there are breaks and it's not 60 minutes, it's this' and nobody really knew what it was," Conan O'Brien executive producer Jeff Ross explained, according to Gamasutra.
"So it was really going to be a leap of faith to jump in with these guys and figure something out which we didn't know. Plus there were 100 people who were out of jobs and that didn't bode well for that."
Ross added: "You meet with these guys and they show you all this stuff that they're developing and it's mind blowing.
"I think it's coming and it's big. It's just that we weren't in a position at that point to figure out what it was."
The report mentioned that Microsoft was talking to "several" media companies about getting their telly content on Xbox. Apparently it's "possible" that a streaming service for the Xbox 360 Dashboard could arrive this autumn.
Xbox 360 currently offers Sky Sports and ESPN telly channels - the latter only available for US residents.