The New York Times Bits Blog is reporting that Microsoft has hired former CBS executive Nancy Tellem to head up production of "original video content" for the Xbox.
It's not clear what kind of shows would be produced for Xbox, but it's reasonable to assume that it probably has something to do with games or entertainment. Whatever it is, though, it could also serve as a beachhead for Microsoft to start pumping out content across Xbox and Windows. Especially since Microsoft has become interested in distribution lately.
Other companies, like Hulu and Netflix, have been moving into original content recently as well. As movie studios and networks increasingly lash out against distribution channels they don't own—and even those they do—everyone seems to have decided to just make their own.
We'll see what Microsoft does with its new video department. It could be really cool, or it could just as easily be lame as all get out. Although if nothing else, this will probably be one more thing keeping Xbox Live Gold from being free. [NYT Bits]