Telstra moves into video game market

Telstra is taking a punt at the video game industry by introducing a new feature that allows users to stream titles through the T-Box set-top box.

According to The Australian, the service will allow users who pay a subscription fee to play games, with the program to be launched next year.

The company also plans to launch a streaming film service similar to the deal already offered through Quickflix.

The story claims Telstra is negotiating with Electronic Arts, along with other major games studios, to supply titles.

Such a deal would bypass the need for a dedicated video game console to play games, such as the Xbox 360 and PlayStation 3.

Cloud-based gaming has become much more popular over the last year, especially in the United States, where a new company called OnLive has gained a lot of attention by allowing users to stream games.