Providing users have both an Xbox Series X/S and a compatible display, the upgrade offers an improvement to high dynamic range.
This works slightly different to the typical HDR10 format, since it avoids applying a blanket setting throughout and instead adjusts to the best HDR settings per scene.
In order to enjoy the new feature, Dolby Vision will need to be enabled within the Xbox Settings section. Simply head to 'TV & Display Options' > ' Video Modes' and make sure 'Dolby Vision' is ticked, and, from there, you'll be able to enjoy shows on Apple TV that supports the display setting.
For now, that doesn't include all Apple TV content. However, users can check by viewing a show's description information and searching for the Dolby Vision logo. If present - as it is for shows like Mythic Quest and Ted Lasso - you should be good to go.
The update follows Dolby Vision for gaming on Xbox Series X/S recently becoming available again, after an initial false start.
It's also not the only entertainment-related update Microsoft has in store, with video podcasts also now available through Xbox's Spotify app. These videos can be played on the main screen or in the background while users game, with playback control afforded through the Spotify app on a phone or tablet.
Add that - and the Apple TV Dolby Vision upgrade - to the new arrivals of Paramount+, Discovery+ and more apps over the summer, and Xbox's latest generation of consoles are handily maintaining their reputation as third-party app powerhouses.