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I would add the following:

* A short-lived redesign of MSN around the concept of "channels" and "shows" with a focus on animation and video (1996!)

* Partnering with broadcasters to deliver interactive content over a TV broadcast signal (circa 1996-1998)

* Including WebTV software and TV receiver support in Windows 98

Basically, I think that Microsoft followed a strategy focused around the early 90s "Information Superhighway" vision way into the late 90s. A key piece of that vision was that the superhighway would enter people's homes trough television, not computers. When the Internet started to gain popularity, many people still felt that it was a "baby superhighway" or a step along the way to the real superhighway.




I think it was just a little ahead of its time and of course without the polish of the current Internet TV executions like : Apple TV and Google TV




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