According to a Technology blog on The NY Times website, Microsoft continues to have tremendous success with its video-on-demand service, Video Marketplace. Microsoft claims sales have grown by double-digits since the conception of the feature in November.

Representatives from Comedy Central and Warner Bros., two of the many partners in the XBVM venture, praise Microsoft for using the current trend to their advantage.

"We need to find gamers where they are," said Michele Ganeless, the executive vice president and general manager of Comedy Central. "Some of them are firing up their Xbox rather than their cable box."

However, it isn't all roses for the Microsoft service. Speaking with Xbox 360 owners, Joanne Kaufman, The NY Times blogger, is reminded of slow download times of video marketplace content, poor navigation for the majority of the content, as well as the confusing nature of the Microsoft Points system. One gamer she speaks to compares the Microsoft Point system to Carnival patrons forced to purchase food with Carnival tickets rather than actual money.

Video Marketplace is home to many films and television programs, but it also includes free movie trailers and videos from the Xbox Live Artist of the Month. Since the launch of the USA-only service, there have been little-to-no updates in the way of new non-gaming video content for other gamers in North America (for example November 2006's Tenacious D is still listed as the Artist of the Month in Canada - as of press time we were unable to confirm if the issue is worldwide).

Non-US gamers from around the world still wait for their version of Video Marketplace, but with the service doing so well in one large market it seems less likely Microsoft will spend the money in order to have similar ventures operate across the globe. Or until Sony launches their rumoured video-on-demand service for the PlayStation 3.

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