From Major Nelson's Twitter: 

Finished up a Major's Minute shoot for this week. You'll want to watch it Thursday for some great news for LIVE members.

What can this be?? 

• DEDICATED servers for all games?
• INternet Explorer 9 in the dashboard?

These are crazy wrong, any other guesses?

Hulu Plus?

Love Film?

On demand television service?

Xbox live price drop?

Xbox live free?

netflix like service for "adult" content?

They will be giving away a free theme?

@bolded: I like your thinking here.  HAHA.

I've heard rumblings of a cable like service for Live, but very recently, doubt they got it finalized and announced so fast.

Could be Hulu plus going live!

Sadly, no way they are making Live free or cheaper, not after a recent price hike!

Boring!!  Unless the theme was like your last sig picture.  Man that was twisted sick in a funny way.

A half baked deal on a game or download everyone already has!

Oh I know... A new feature not usable in Canada with another price increase JUST for Canada. Please let it be true!

A name change to Xbox Kinected!

Wait...I'm guessing your Canadian?  I know a guy in Canada...do you know him?? (HAHA, just kidding).

@bolded, that was pretty damn funny.

If we start mincing words you can see that he doesn't say for GOLD members, so what would be good news for all Live members?

Can you link me to where he said that?

Heh...well i've learned not to expect too much when it comes to MS for announcements.

I aim to please

And if his name is Bob, Dave or (Heaven forbid) Suzy.... No.

I crack myself up

Hmm... Well as someone else mentioned there's a lot of rumours about a huge TV service being launched with the 360 as the piece of hardware required but most speculated it would be a year before we saw anything from that. Maybe a preview? Or an announcement of a deal with a movie retailer to stream movies?

Or the holidays are coming up so their plans for holiday sales for all... New set of Avatar items for the holidays.

Umm a new 360 wide contest based on achievements in multiple holiday released games?

I doubt there'll be any type of price reduction or free announcements as they JUST raised the price and saw minimal backlash.

Maybe a new internet service? MySpace app? VGChartz app? (Epic idea!)

A Qore like subscription service included for all Gold members to add value (unlimited play of certain live arcade games, video streaming, etc. as long as you're a subscriber to Gold) and a low cost of entry to it for Free/Silver members. This isn't likely as it would further obfuscate and convolute their current service offerings and would only confuse consumers.

Something family oriented to further wooo the Kinect crowd.

Another holiday ban wave