This just in: Indiagames has tied up with Microsoft’s Entertainment & Devices Division, and will be e-tailing Microsoft’s gaming console - the xBox 360 - as well as peripherals including keyboards, mice, game pads, steering wheels, joysticks and web cameras. The products will be made available at Indiagames’ virtual shopping portal IGShop. Indiagames will offer a special price to subscribers of its “Games on Demand” service. Vishal Gondal, CEO of Indiagames says in the release that though they’re beginning IGShop with products from Microsoft, and they will be adding more products.

Games on Demand is a subscription based service that allows broadband subscribers from Airtel, BSNL, You Tele, MTNL and Tata VSNL access to over 300 games at relatively low costs. So effectively, Indiagames has used the service not just to get subscription revenues, but also to create a captive audience for maybe it’s own games, products and peripherals, and marketing.