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I don't think many people
I don't think many people (in the world) will be able to use the XBOX 360's IPTV feature. Only a few cities use "Microsoft TV" technology to deliver TV. No provider in Huntsville does. There's no way to connect to Comcast, Knology, or other providers via the internet for TV.
IPTV sounds great. It will free up a lot of bandwidth because you'll only be streaming the show you are watching.
But, it won't be free. You'll have to pay for a service from someone. If IPTV comes to Huntsville, it will probably be through BellSouth in which you'll pay a monthly fee to access their network. (I'm taking a guess that BellSouth would like a share of the TV market and has the network to do it.)
If you've got one of these providers, then you can likely use the XBOX 360 for IPTV:
AT&T
Beijing Netcom
Bell Canada
BT
Club Internet/T-Online France
Deutsche Telekom
Magyar TeleKom
Reliance Infocomm
Singtel
Slovak Telekom
Swisscom
Telecom Italia
Telecom South Africa
WIND
Ya.com
Looks like some ATT customers might get to check it out. It would be cool to use the 360 as a DVR device.