CNET: Microsoft, America Online to play MLB games

The small online video streaming partners of Major League Baseball (MLB) thought a few weeks ago that the League had gone insane, demanding tens of millions of dollars to re-up contracts, when they weren't making much money to start. But now all seems clear: they had a buyer all along, as Microsoft moves in to start its own fee video service.

AOL is also looking to buy in, contracting live feeds that it plans to offer for free to its broadband members.

While most sports nuts remain partial to their widescreen TVs, the moves do constitute shots over the bows of cable and satellite networks, traditional distribution partners for sports packages and other pay-per-view products.