Xbox Live to target hackers?

Friday, 6 September 2002, 11:00 AM EST

The 14-page user agreement and privacy notice included with the first Xbox Live kits sent to beta testers specifies that Microsoft reserves the right to revoke Xbox Live privileges for anyone with a hacked Xbox and to scan consoles on the network to enforce its rights.

A handful of gray-market Xbox mod chips have gone on sale in the past few months. Once soldered onto the Xbox's main circuit board, the chips disable various copy protection measures, allowing the machines to run legally or illegally copied discs, imported games and unlicensed software. Numerous hacking projects have emerged to use the chips to adapt Xbox units for use as media players and Linux boxes.

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