Continuing to expand on the Xbox 360 console as an entertainment platform, Microsoft Canada today confirmed a number of new services that will be coming later this year for their video game system. The most significant perhaps is the change to their online Video Marketplace, currently offering a small selection of movies and TV shows for rental.

The service will be re-branded as  “Zune Video” this fall and will change from a download service to a streaming one offering 1080p, 5.1 surround sound High Definition content as an instant on-demand movie store. No discs, no downloads, just press a button and it starts immediately. Players will have the option to share their movie experiences with each other through Xbox LIVE Party, creating an online chat channel where players can sit together in a virtual theater, laughing and crying with each other through their Xbox Live avatars.

As the name suggests, Zune Video is designed to integrate with the recently announced upgrade to the Zune digital media player, the Zune HD. At this time, Microsoft Canada does not have any plans or details for a Canadian release of the Zune HD.

Other services being added to Xbox Live in Canada include support for social networks Facebook and Twitter. Facebook Connect allows playersto sign into their Facebook accounts through their Xbox 360 systems and both update their status and upload photos to their accounts. Microsoft says for fans to expect future games to include features that will let you send game-related status updates and screenshots to your Facebook account. The first game to offer such support will be Tiger Woods PGA Tour.

Twitter will also be coming to Xbox Live, allowing players to send out Tweets from their televisions and access their favorites.

New music features will be added through Last.fm, a service that will give Xbox 360 owners access to millions of songs to stream into their living rooms. Xbox Live subscribers can create their own free, personalized radio stations for sharing with friends across the country through Xbox Live.

Other services announced, but not coming to Canada include:

Expanded NetFlix service for the US – Subscribers can now add selections to their Instant Queue through their television and share their movie playback through Xbox LIVE Party.

BSkyB Ltd. Live television for the U.K. and Ireland – Now you can watch live, on-demand television through your Xbox, including Sky Sports. Plus, just as with the movies, you can share the experience with others online through Xbox Live Party.