It's a move Sky believes will increase their presence in the US, as well as offering its viewers on this side of the Atlantic a "fresh new option" to watch Sky News using the icon found within the TV section.
Sky News on Xbox has been developed alongside digital TV distribution platform 1 Mainstream, which has also been involved with making the channel available on other smart TV platforms, including Apple TV and Roku.
It is hoped that the Xbox 360 launch will open up Sky News to "millions of homes" throughout the US – with its channel feed tailored to US audiences and incorporating content from Sky News's American offices.
Andrew Hawken, head of Sky News Digital, said: "Sky News is consistently exploring opportunities to expand our global reach. Making Sky News available on Xbox was an ideal way to achieve this.
"With a growing US footprint of a million users and a US news team, we’re thrilled that our coverage will be showcased to millions of Xbox customers."