Google showed Google TV off before it was fully baked, so all of the goodies inside were oozing out instead of being fully-functional features that blew people away and had consumers throwing money at their product.
But, it looks like they're at it again, and according to The Wall Street Journal's inside sources, Google are pitching the idea of an online TV service to media providers and distributors. The difference between it not working before, and it working now, is that content providers are looking for nationwide distribution - something Google can provide, very easily.
The WSJ are reporting that Google has the system developed and is shopping it around to various partners. The world of TV has changed since Google first introduced Google TV, with the likes of Netflix and their smash hits like the fourth season of Arrested Development and House of Cards doing very, very good business online.