Later this week, Microsoft is due to host a big press conference in London. What's on the table? Oh, full integration of satellite television with the Xbox 360.

British site Rapid TV News claims that BSkyB (or Sky, as it's more commonly known), the UK's biggest pay TV provider, will announce tomorrow a deal linking its subscription TV services with Microsoft's console.

How this would work, exactly, is anyone's guess, but we'd imagine it would be similar to how the PlayStation 3 currently manages free-to-air TV in Europe with its PlayTV setup.

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You know how the Netflix deal was big business for both Microsoft and Netflix in the US? With Sky's roster of sports in the UK, this would probably be just as successful in Ol' Blighty.

UPDATE - This deal is official, having just been announced by both Microsoft UK and Sky.

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BSkyB link with Microsoft on X-Box [Rapid TV News]