According to a recent article on Variety, Microsoft's Xbox Live service is outselling other online retailers in online video sales. One of the driver factors behind this is that the Xbox is directly connected to the consumer's TV rather than using the PC like Amazon.com's digital downloads service.
This relates to a previous article here on RedmondGadgets.com where we discussed the strategy by Microsoft to expand to other demographics rather than just pure gaming. It appears to be working with the video download service of Xbox Live.