According to MVC sources, the console could function as a Sky set-top box or a companion device sold at a significantly reduced price.
The site claims the partnership may already have been sealed and if so, could be revealed on Monday night at Microsoft's E3 conference. The platform holder declined to comment on the report.
Sky recently said it will "explore opportunities" for making its content available on Xbox One in the UK. We've approached the company for comment on today's story.
Xbox One will let users navigate and watch live TV from cable, telco or a satellite set-top box fed through the console. However, Microsoft said in May that TV integration features will be limited to the US at launch.
Microsoft CEO Steve Ballmer has reportedly held personal meetings with a number of Hollywood TV moguls ahead of E3 in a bid to secure exclusive content for Xbox One. Content deals have already been signed with North American partners including ESPN and the NFL, while Microsoft said last month that Steven Spielberg is to executive produce a new live-action Halo TV show.
Speaking in a wide-ranging Xbox One interview last month, Phil Harrison, corporate vice president of Microsoft's Interactive Entertainment Business, told CVG: "We are committed to working with our existing and potential new partners to make sure that wherever you live we will deliver a great TV experience.
"We believe that the TV connectivity of Xbox One is a really magical part of the system and we're committed to making that amazing wherever you live. We know that TV is ultra local and we already have teams in place to work on that vision."
Update: A Sky spokesperson told CVG: "We have no plans to sell Xbox hardware as part of a Sky subscription. We have a longstanding partnership with Microsoft by which we distribute our content via Sky Go and NOW TV on Xbox. We look forward to continuing to work with them as part of our commitment to giving our customers more ways to watch Sky programming in addition to their Sky+ HD box."