The last few months have seen several leaks that suggest the next Xbox will require an "always on" broadband connection as a way to counter both piracy and used game sales. Microsoft isn't commenting, but the news -- if true -- is angering a lot of possible customers with they botched launches of Diablo 3 and SimCity (both requiring always-on connections) freshly in mind. Another source this week told gaming blog Kotaku that the next Box will indeed need a persistent connection to run games and apps, and that a troubleshooter launches if a user is offline for a set amount of time:As already noted, it remains unclear if Microsoft intends to ban used games, but demanding an always-on broadband connection to play games you own presents all manner of obvious issues. In addition to the leaks to news outlets, developers seem to be strongly hinting that the always-on requirement is a done deal.

To make matters worse for itself, Microsoft Studios creative director Adam Orth took to Twitter this week to mock those concerned about the always-on demand. Orth stated he "doesn't get the drama" about devices simply not working without connectivity, and that "those people should definitely get with the times and get the Internet." The comments seem to suggest a certain tone deafness to the issue, though Microsoft's certain to be less glib in May when the console is officially announced and -- assuming the rumors are true -- the backlash begins in earnest.

Update Orth has since proclaimed that he was just trolling a friend, though that doesn't make Microsoft's idea any less problematic -- and he wasn't quite quick enough to prevent himself from becoming a meme.

AT&T's video streaming services have been decidedly "me too" affairs, ranging from a video portal that was effectively a Hulu clone to the U-Verse Screen Pack, which was touted as a "Netflix killer" but suffers from a limited catalog and is only available to U-Verse users for an additional $5 a month. However, a new survey being sent to U-Verse customers indicates AT&T is pondering expanding these options. Variety notes that the survey hints that the service might not be directly run by AT&T:As we noted recently, U-Verse users currently aren't being charged for overages but AT&T DSL users are. AT&T's curiosity in such a project comes after Verizon recently launched a streaming video service in conjunction with RedBox.

According to documents obtained by CNET, the DEA is upset because the encryption used by Apple's iMessage foils their ability to snoop on those communications. Even with a warrant (increasingly seen as optional these days by law enforcement and intelligence agencies) and the fact that carriers let the NSA snoop on everything in real time, "it is impossible to intercept iMessages between two Apple devices."

Well not entirely impossible; the memo notes that sometimes interception is possible, but it would require the government to conduct man in the middle attacks using spoofed cell towers, something the feds just got busted for using for years without properly informing Judges.

Every so often we see a carrier get the bright idea to use modern network technology to inject their ads into website content -- and once publicized they become very short-lived affairs. You might recall that Mediacom got busted for this back in 2011, when they started using deep packet inspection and Javascript injection technology to insert ads into numerous websites -- even those traditionally without ads (like Apple or Google).

A post over at the Skype blog proudly proclaims that Skype users are collectively using the communications platform for more than 2 billion minutes each day. "That’s enough time to travel to the moon and back over 225 thousand times, walk around Earth more than 845 times or travel to Mars more than 5,400 times," proudly proclaims the company. The total of course includes voice, video, and people staring at the screen using instant messaging, so it's likely a very generous number. Skype has certainly had help on numerous fronts, from the death of the PSTN to Microsoft's announcement that they'll be closing Windows Live Messenger.

According to the New York Times, the Russian government has started using a new law that allows it to begin censoring Internet content. The effort, as most Internet filtering attempts do, has originated with the supposed interest in protecting children from harmful content. As such, the government has demanded that Facebook, Twitter and YouTube begin removing content that promotes suicide and drug use. Google is the only one standing up to the request so far, refusing to take down a video that simply showed how to create a fake wound using a makeup materials and a razor blade. This being Putinland, many are of course concerned that the effort is simply the opening salvo of a much larger attempt at Internet censorship.

Antennas manufacturer Antennas Direct is angry at Charter Communications because it claims Charter has banned the company from advertising to Charter's customers. According to the company, Charter refused to run a sixty second ad in the St.

Despite the fact that Google Glass isn't even launched yet, West Virginia lawmakers are getting ready to pass a law banning people from using Glass while driving. State lawmakers have already been working on new laws that ban texting while driving, so Gary Howell (R-Mineral) is updating the law so that it also covers "a computing device which is worn on the head and projects visual information into the field of vision of the wearer." Google, for its part, is trying to argue that Google Glass could make drivers safer:While the potential for driver distraction might be significant, West Virginia probably has more important things to worry about than passing regulations governing a niche product few people will actually be able to afford at $1,500 a pop. This is the state currently investigating its own incompetence and corruption after state leaders wasted $126.3-million in broadband funding on un-used, overpriced routers and redundant, overpaid consultants, in the process lining Cisco and Verizon's pockets with no-bid contracts.

Intel is currently conducting trials of its new Internet TV platform with employees in three West Coast markets ahead of a launch later this year. The chipmaker has repeatedly stated that they believe they will succeed in Internet video where numerous other companies have failed. Those ever-busy "people with knowledge of the situation" also claim that Intel is making headway hashing out licensing agreements with content companies. That's obviously the major hurdle to Intel's success, and the primary reason why significantly better and more innovative companies than Intel have watched their Internet TV ambitions repeatedly do mudpuddle face plants.

UK's marketing regulator, the Advertising Standards Authority (ASA) – has censured Virgin Media for claiming that their broadband is unlimited. The ASA's ruling, the first to use new guidance on use of the term 'unlimited', prevents the fastest of the UK's main ISPs from using the line: Unlimited downloads: Download and browse as much as you like with no caps and no hidden charges.

Like the company did with "House and Cards" and "Arrested Development," Netflix continues to push into original programming with the announcement that they'll be producing a new series by Matrix creators the Wachowskis and Babylon 5 creator Joe Straczynski. According to a company statement, "Sense8" is a new sci-fi program and "a gripping global tale of minds linked and souls hunted" scheduled to premiere in late 2014. Amazon has also been making a push into more original series, also announcing this week that they've signed off on "Zombieland," a TV adaptation of the 2009 film. Both companies are looking to draw in more subscribers while performing an end-around of skyrocketing content licensing costs.

While carriers already now give real-time access to all network data, the FBI says that real-time wiretapping of Gmail is their top priority in 2013. Speaking last week at the American Bar Association, FBI general counsel Andrew Weissmann argued once again that the agency wants to revamp the Communications Assistance for Law Enforcement Act to allow for real-time surveillance of e-mail, cloud storage services, and social networking websites.

Hulu has consistently flailed because the company's owners, with a vested interest in the status quo, really don't have much of an interest in Hulu truly disrupting or succeeding. Now Disney and News Corporation, after years of bickering about what to do with the property, are again pushing for a sale on the heels of departures of top company executives last January.

Two anonymous sources tell Business Insider that Spotify plans to take on Netflix (and Hulu, and Amazon, and Redbox Verizon, and HBO, and every other "me too" video service under the sun) with a new streaming video service. Details about the new service are virtually nonexistent, outside of the fact that Spotify is currently looking for partners to help it fund and create original content. Netflix has also been focusing on exclusive content like their series "House of Cards" (or resurrected series like "Arrested Development") to offset soaring content licensing costs. Spotify of refuses to comment on the rumor.

Verizon of course sees the writing on the wall that their SMS cash cow will soon be led to the slaughterhouse by push messaging services like iMessage or Google chat. As such, the company this week announced that their Verizon Messages service, which will allow users to receive messages on tablet, smartphone or PC. Traditionally these attempts to try and jump into content competitions don't fare well because phone companies aren't good at either software or innovation. As this video points out the service is tied to one phone number, though it's still also tied to your SMS plan.

Rumors surrounding the next Xbox suggest that the game console may require a constantly running broadband connection to function -- in addition to banning used games. Leaked screenshots of an Xbox Development Kit (XDK) for Microsoft's next-generation console (currently code-named "Durago") strongly suggest that game installations to the hard drive will be mandatory, after which "play from the optical drive will not be supported."

The last few round of rumors have collectively suggested that Microsoft could be cooking up some incredibly dumb new ideas for their new console:

According to the latest data from Leichtman Research, the top nine largest cable companies lost 1,415,000 video subscribers in 2012 -- compared to a net loss of about 1,600,000 subscribers in 2011. Time Warner Cable fared the worst of all cable operators, losing 525,000 video subscribers on the year.

A report in the Wall Street Journal states that Verizon is proposing a new pay system to several "midtier and smaller" media companies where Verizon would only pay for channels if customers are actually watching them. The proposal would involve Verizon paying broadcasters based on how many customers register a "unique view" with a channel -- defined as a customer watching the channel for a minimum of five minutes. Verizon states they could track the viewing metrics with set top data instead of using Nielsen (who is only just figuring out this whole iPad thing). That rumbling you hear as you read this is the larger broadcasters giggling.

Small cable operators this week met up at the American Cable Association Summit to complain that the TV market is rigged and broken thanks to media consolidation. Speaking at the event, executives like Wide Open West CEO Colleen Abdoulah complained that content prices were skyrocketing due to collusion.

Netflix this week stated that the company's goal is to stream content in the 4K format by 2014 or so. Netflix recently started offering Super HD and 3D streams, if your ISP has signed up for the company's new content delivery network.