Geek Gestalt

There are literally hundreds of banned Xboxes for sale on Craigslist right now in the wake of a decision by Microsoft to kick as many as a million players off of Xbox Live for illegally modifying their consoles to play pirated games.

(Credit: Daniel Terdiman/CNET)

Update (5:45 pm): This story now includes a statement from Microsoft.

Want an Xbox 360 but don't care about playing online or taking part in any of the Xbox Live services? Then this is your lucky day.

Thanks to a recent decision by Microsoft to ban as many as a million players from Xbox Live for illegally modifying their consoles to run pirated games, there is now an absolute glut of "modded" Xboxes for sale on Craigslist.

And while a brand-new Xbox Arcade--the lowest-price version of the console--sells for $200 with no free games, it is now possible to spend as little as $100 for a used, modded Xbox that comes with a slew of hit titles. You just have to be willing to give up using Xbox Live and be OK with your new game collection including mainly pirated titles.

Running a search for "modded Xbox" on Craigslist's Bay Area site returned 35 listings from the past three days. A similar search on New York Craigslist resulted in 87 listings. And dozens and dozens more are for sale on other local Craigslist sites.

One listing promised a "banned/modded" Xbox 360 with a 20 gigabyte hard drive; 20 HD movies; and 13 games including Madden 2010, Call of Duty: Modern Warfare 2, NBA 2K10, and others.

"Everything works perfectly," the ad reads. "The 360 was treated better than I treat most people."

The ad also reminded potential buyers that, "since the console is banned, you will not be able to connect to the Xbox Live service. Therefore, this posting is for those of you who don't care if you can play online or not."

One Craigslist poster named Danny Cuccovia, a 22-year-old student from West Valley College in Saratoga, Calif., was actually looking to buy a modded Xbox 360, and despite the incredible deals available right now, wasn't interested in one that couldn't get him onto Xbox Live.

A gamer looking to potentially go pro, Cuccovia suggested that modded Xboxes are great because there is no end to the supply of pirated games and that sellers of those games put very realistic-looking labels on them.

He also said he was sure that many of the people selling their banned Xboxes on Craigslist were doing so because they want to get a new one.

That was certainly the case with Kevin, a 29-year-old from Manhattan's East Village who logged into Xbox Live a few days ago only to discover the bad news about his console.

"I logged in, tried to play a game online, and it said I had been banned from the service for violating the terms of service," Kevin, who wouldn't give his last name, said. "I cursed, put my controller down, cursed Microsoft, and then bought another Xbox."

But even though he bought another used console that was advertised as being unmodified, Kevin said that when he tried to log on to Xbox Live, he quickly discovered he'd been cheated: the new device had been banned, too. So on Tuesday, he bought another one.

"If you're interested in a modded Xbox," he said, "I've got one for you."

Interestingly, Kevin and another New Yorker with a banned Xbox, 16-year-old Muhummad Sheikh, both said that the ban seemed to apply only to the console and not to their Xbox Live accounts.

Kevin said that his account still works, and that he was able to keep all his achievements, but he lost all the saved games. "They've done something funny," he said. "They call it a corrupted profile."

For sellers like Kevin, the rush to sell their banned Xboxes in order to buy a new one is pitting them against dozens, if not hundreds of people in the same boat. That means that getting the price they want is going to be near impossible. Kevin said that he had originally asked for $175--with an available legitimate copy of Rock Band for an additional $50--but has now dropped his price to $150. And still he has no bites.

"Someone (offered to) buy it for $100," Kevin said, "but I haven't capitulated yet."

In a statement issued late Wednesday to CNET News, Microsoft suggested that players who buy used Xboxes should beware that the company doesn't necessarily stand behind the consoles.

"If you purchase a modified console second-hand, the warranty is not transferable and the purchaser assumes the risk for any previous modifications," the Microsoft statement said. "If you purchase a console that has been previously banned, you will not be able to connect to (Xbox) Live."

To Kevin, the fact that the consoles have been banned but players' accounts still work smells a little fishy since that means if someone buys a new Xbox, they'll be able to get right back into their Xbox Live account and pick up, more or less, where they left off. And that could well mean that for the Xbox Live obsessed, there's no choice but to buy a brand-new machine, especially since many of the other consoles for sale on Craigslist right now have also been banned.

"Well, the holidays are around the corner," Kevin said. "They know what they're doing when it comes to making money."

Update (5:50 p.m.): This story has been updated with a statement from Microsoft.

It's oh-so enticing: you find a copy of a brand new game like Call of Duty: Modern Warfare 2 on a pirate site and the temptation to download it is too strong.

Well, that temptation may have cost up to 1 million users of Microsoft's Xbox Live the ability to use that service. According to a report in InformationWeek, Microsoft has banned as many as a million players from Xbox Live for altering their consoles in order to play pirated versions of games.

This week, Activision's new Call of Duty was released, and InformationWeek speculated that because pirated versions of the game appeared on various sharing sites in advance of the release, the game's developer may have exhorted Microsoft to enact the bans.

"Xbox 360 consoles are equipped with digital rights management technologies designed to detect pirated software," InformationWeek wrote, "but some players have successfully 'modded,' or modified, their machines to circumvent DRM protections."

Even if someone has been banned, their Xbox will still play offline games, InformationWeek said. But it's not at all clear if the bans are permanent or if Microsoft will allow those who have been booted from Xbox Live to return at some point down the line.

In a statement Microsoft said its "commitment to combat piracy and support safer and more secure gameplay for the more than 20 million members of the Xbox Live community remains a top priority. All consumers should know that piracy is illegal and modifying their Xbox 360 console violates the Xbox Live terms of use, will void their warranty and result in a ban from Xbox Live. We can assure you that if an Xbox Live member follows the Xbox Live terms of use, purchased a retail copy of Modern Warfare 2 and played the game on an unmodified Xbox 360, no action will be taken."

And on the Xbox support page, Xbox Live Director of Programming Larry Hryb, aka Major Nelson, has addressed some of the circumstances that could lead to a player's being banned.

"Players who find their Gamertags banned from Xbox Live have wound up in that situation due to violations of the Xbox Live Terms of Use," Major Nelson wrote. "The Xbox Live team monitors players for not just cheating, but also for things like threats, racism, profanity, and just being an all around poor sport and ruining the game for others.

"When a Gamertag comes up as violating our policies for online behavior, the person who owns that Gamertag is punished by being banned from the service. Keep in mind, this isn't just a ban on a particular game. This is a ban on the Xbox Live service as a whole, so you won't be able to go online at all during your ban. Initially, you may be banned for a day, a week, or depending on severity, permanently! Kiss that $50 goodbye."

Microsoft is getting ready for a November release of new Facebook, Twitter, Last.fm, and instant movie and TV show streaming features in Xbox Live.

(Credit: Daniel Terdiman/CNET)

SAN FRANCISCO--At a star-studded E3 press conference last June, Microsoft touted, among other things, a plan to bring Facebook, Twitter, and Last.fm to its hit online service, Xbox Live, as well as to begin offering instant streaming of movies and TV shows.

At the time, all Microsoft would say is that it hoped to roll out these new features to the public in the fall.

Well, it's now the fall. And on Wednesday, my colleague Josh Lowensohn and I got a first-hand look at the pre-release Xbox Live implementation of Facebook, Twitter, Last.fm, and video streaming, and had a chance to talk to Xbox Live General Manager Ron Pessner about it all.

Photos: Twitter, Facebook, Last.fm almost ready for Xbox Live

View the full gallery

Microsoft is still not ready to let the public in on the fun yet, and today is only willing to give the launch a November timeframe--with no actual date announced. Further, since E3, the so-called InstantOn streaming feature has been rolled up into a larger Zune branding effort, something that I think is a big mistake, given the cool reception the Zune name--at least as it applies to Microsoft's music player--has received in the marketplace.

Regardless, it's clear that Microsoft is nearly ready to start letting the Xbox Live community get its hands on the Facebook, Twitter, and Last.fm features, and to begin streaming video content rather than waiting for it to download, which has been a slow, frustrating process by all accounts.

Pessner began by talking about Facebook. Clearly, Microsoft's interest is in getting the feature up and running and letting Xbox Live users begin to access the popular social network on their TVs sooner, rather than later, even though some fundamental elements of Facebook haven't been included.

According to Pessner, a chief goal of the implementation was to make it easy for users to make photo slideshows and watch them on their TVs. A quick demo revealed that much of the Xbox Live Facebook tool is built around looking at photo albums, scrolling between friends' albums and seeing who on a user's friends list has added photos to their account.

But one of Facebook's most fundamental offerings is photos and allowing users to upload them. And Microsoft has chosen, for now at least, not to let users do that. Pessner says the decision was made that Facebook on Xbox Live is about viewing images, and that anyone who wants to upload them to the social network will do so via the Web. It's a fair point, but it does seem like a major omission, and it would seem like something Microsoft will have to address soon.

Pessner also pointed to what he called Friend Linker, which is designed to help Facebook users see which of their friends are Xbox Live members, and vice versa. Among other things, it makes for an easy way for Facebook users to discover friends' gamertags and to invite them to be friends on Xbox Live.

All in all, while it's likely that many Xbox Live users will find themselves switching over to the Facebook application frequently--why move over to a computer if it's not necessary?--it's clear that there is a lot of room for more. The interface is consistent with everything else on Xbox Live, something that may please some. But frequent Facebookers might find it confusing to have to use Facebook in an entirely different format. Only time will tell.

Twitter on Xbox Live
Pessner then showed off the Xbox Live Twitter application. Like its Facebook counterpart, the interface will look very familiar to Xbox Live users. Pessner said the idea was to design a Twitter experience for the living room.

That means, of course, a fairly scaled down Twitter app. Users can post their own tweets, view friends' tweets, re-tweet them, favorite them, look at profiles, @ reply to others, and do Twitter searches. And that's about it.

To be sure, there aren't that many more features available to Twitter users elsewhere, but there are some. Again, Pessner made the argument that the idea was to optimize the experience for a living room TV and that to access a full range of features, users will happily turn to their computers.

One thing missing from both the Facebook and Twitter applications, however, is the ability to click on URLs, something that is a major piece of the social-networking puzzle these days.

Asked why not, a Microsoft spokesperson said, "That's not something we support right now. Today we're focused on delivering a great Twitter and Facebook experience which connects the Xbox Live community to friends in new and unique ways...This is just the beginning, and the great thing about Xbox Live is that we can evolve and update features based on the community's feedback."

Last.fm
The third piece of the new Xbox Live puzzle is its Last.fm application. Last.fm (which is owned by CNET News parent CBS Interactive) is a music service aimed at helping users discover new songs and artists--something Microsoft is hoping will add to users' overall Xbox Live experience.

Pessner said that adding Last.fm gives users access to a wide range of new music and music-related tools, much as adding Netflix to Xbox Live last year did for movies.

As with the Facebook and Twitter tools, Xbox Live users will find a scaled down version of Last.fm, one that Pessner said is focused mainly on music consumption, "but also on discovery."

Again, the tool has the familiar Xbox Live look and feel, and appears to be something that will expand some users' musical horizons. But it's also clear that what this is a simpler version of a service that's been optimized for a TV, and those who want the full experience will return to their computers.

And that's fine. No one is expecting Microsoft to replace their computer with Xbox Live, though I'm sure Microsoft would like to do so someday. If, for example, it ever put a full-featured Web browser inside Xbox Live, some of the missing features mentioned above could be addressed. But that's a conversation for another day.

InstantOn
The last new feature is the InstantOn streaming service that Xbox Live users will have access to. The idea is to give those buying or renting TV shows or movies through the Zune video marketplace (formerly known as the Xbox Live video marketplace) instant gratification instead of making them wait for their content to download.

The service will offer full 1080p high-definition movies and TV shows, and will let those who purchase content watch it right away or download it to their Xbox, a Zune player, or a PC. Those who rent content will be able to stream it and will have 24 hours to finish watching it once they press "play."

Pessner pointed to the fact that the service is designed to auto-detect a user's bandwidth level in order to play back the content in an appropriate quality. The idea there is to ensure that a user gets to watch what they want right away, regardless of how fast their connection is.

From Microsoft's perspective, this new set of offerings will make the Xbox an even stronger entertainment option than it has been in the past. But Pessner said there is still much more that can be added to the platform.

He wouldn't say what the next steps would be, of course, but did paint a broad picture, suggesting that users can draw their own conclusions of how Project Natal, Microsoft's forthcoming gesture-based control system for Xbox and PC "can light this up."

Technical problems have been plaguing Xbox.com on Thursday morning, affecting users' account management and access to the Xbox Marketplace.

According to the official Xbox Live status page, "Users may experience difficulties with account recovery, account management, Marketplace functions, and/or making purchases. We are aware of the problem and (are) working to resolve the technical issues."

And on Twitter, Xbox Live's director of programming, Larry Hryb (otherwise known as Major Nelson) has been posting updates.

Larry Hryb, director of Xbox Live programming, twittered on Thursday that there are ongoing problems with Xbox.com and Xbox Live billing.

(Credit: Twitter)

"As some of you may already be aware, we've been having billing issues for the last few hours," Major Nelson tweeted. "This may impact your ability to manage your account, buy points, use existing points, redeem tokens, and other similar actions."

He added, "We're actively engaged with the billing team on resolving this."

And elsewhere on Twitter, many people are reporting the problems. Their comments range from Twitter user weclock's complaint, "Is there someplace where I can check on the status of the Xbox Live servers? I can't reach Xbox.com or Xbox Live" to user iheartrobots' commiserating, "Glad to know I'm not the only one that can't get onto Xbox.com."

Microsoft did not have an immediate corporate comment.

It sounds, however, as if the company is well aware of the issues and will most likely have them resolved before too many players get overly frustrated at not being able to get their "Halo" on.

Having had two separate eBay auctions to sell his rare Xbox Live gamertag yanked off the site for apparent terms of service violations, a New York State man is now moving his business to Craigslist.

Earlier this week, as first reported here, Chris Graziano had put his gamertag, "Hitman," up for auction on eBay. Graziano, a student at SUNY New Paltz, had been hoping to capitalize on the rarity of the moniker to score a big payday, and indeed, in the hours after his auction went up, more than $500 was bid for the gamertag.

After having two eBay auctions to sell his rare Xbox Live gamertag, Hitman, pulled off the site, Chris Graziano is now trying to move the account on Craigslist.

(Credit: Chris Graziano)

"Don't bid on this item if you don't want to be the center of attention of every game lobby you're in," Graziano wrote on the original eBay ad. "You'll regularly hear comments of 'You're the original Hitman?' and 'Wow, how did you get that gamertag?!'"

But eBay wasn't amused and quickly pulled the auction, claiming that the attempted sale of the Hitman account violated its ban on the traffic of virtual goods and assets, Graziano said.

"EBay doesn't allow the sale of virtual items," Graziano said eBay told him in an e-mailed explanation. "This includes--but isn't limited to--online game characters, accounts, currency, codes that can be redeemed for in-game items, and related software."

Undaunted, Graziano felt he had another way to approach the problem. Rather than selling the account itself as a purely digital good, he figured that he could probably attract buyers by offering up an Xbox memory card--a physical item--that just happened to contain all the data associated with the Hitman account.

"This is an auction for my memory card," Graziano wrote in his second eBay auction. "I used the memory card to bring over to my friends' houses in case we played Xbox Live online. So on the memory card along with a few saved games and rosters is my XBL gamertag. I'm not selling that since Microsoft owns the rights to it, but it is on the memory card. I recently purchased another year of gold service, so whoever wins the auction will be able to play using the 'Hitman' gamertag...People sell a year of gold service all the time on eBay, so now you have it on the tangible form of a memory card.

"Just like if you were selling a computer on eBay, you sell the computer, and with it comes a hard drive with random stuff." Graziano continued. "I'm selling a memory card. With it comes saved games, sport rosters, and my XBL Gamertag--Hitman. It's a pretty cool gamertag by the way. No extra letters or numbers. I was an XBL beta tester years ago and was one of the first to sign up, so I got the most popular phrase used in gamertags all by itself, Hitman. This memory card along with its contents would be great for any hardcore gamer looking to steal the spotlight in all of his online games."

But yet again, eBay disallowed the auction, this time at the behest of Microsoft, which bans the sale or redistribution of any part of the Xbox Live service.

"In accordance with the Xbox Live terms of use," said David Dennis, an Xbox 360 spokesperson, "Xbox Live Gold subscriptions are not transferable and cannot be resold for commercial purposes."

EBay did not respond to a request for comment.

Now, despite getting some unsolicited offers for the gamertag of several hundred dollars, Graziano is determined to get what he thinks could still be four figures for the account. As such, he has offered it for sale once again, this time on Craigslist.

"I'm trying to sell this memory card I have for Xbox 360," Graziano's new Craigslist ad begins. "On the memory card, along with a few saved games and rosters is my XBL gamertag. I'm not selling that since Microsoft owns the rights to it, but it is on the memory card. I recently purchased another year of gold service. So while I may not own the gamertag, I do own the right to use this gamertag on XBL for the next year as long as I abide by their terms of service."

While it's too early to tell what will happen to the post on Craigslist--a representative of that service did not immediately respond to a request for comment--it stands to reason that Microsoft will once again pull rank. Graziano's attempt to, oh by the way, include the gamertag with the Xbox memory card is similar to efforts by some to auction off tickets to the 2000 World Series between the New York Yankees and New York Mets by including the tickets for free with a Yankees cap.

EBay had pulled all such auctions at that time because of restrictions on the site against scalping tickets.

Graziano is aware that Microsoft may tire of his persistence and simply unilaterally close his Xbox Live account.

"That's what makes me want to just take an offer now and run with it," he said.

If you're the kind of video game player who likes to spend hours in shooters like Call of Duty or Halo and you want to instantly pick up some serious street cred, what better Xbox Live gamertag than "Hitman" could you get?

To date, of course, the best you could do would be something like "Hitman238" or "xxHitman42." That's because "Hitman" itself was snagged back in the summer of 2002, during the beta phase of Xbox Live, by a then 16-year-old named Chris Graziano.

But now, Graziano, 22 and a student at SUNY New Paltz, has decided to sell Hitman, and has put it up for auction on eBay. He is hoping someone out there will plunk down big bucks for the right to shoot their way through the most popular war games while sporting such an obviously old-school gamertag.

Longtime Xbox Live player Chris Graziano has put his gamer tag, "Hitman," up for sale on eBay. It may end up netting big bucks as a desirable moniker.

(Credit: Chris Graziano)

"Don't bid on this item if you don't want to be the center of attention of every game lobby you're in," Graziano wrote on the eBay ad. "You'll regularly hear comments of 'You're the original Hitman?' and 'Wow, how did you get that gamertag?!'"

It's too early to tell how much money the Hitman name might bring in the end, as the auction doesn't end until February 19 and as of this writing, the high bid is $49.99. But Graziano said he was inspired to sell the account by another auction he'd seen not too long ago in which a player sold a gamertag with a very high gamerscore--the measure of how many achievements someone has earned in Xbox Live--for thousands of dollars.

A screen from the new Xbox Live Experience, which is set to launch on Nov. 19. Microsoft is now delaying one critical element of the service, the Primetime series of interactive games, according to a published report.

(Credit: Microsoft)

Updated 1:42 p.m. PDT: Adds Microsoft comment.

At E3 last summer, Microsoft said it would soon be unveiling a new piece of its larger Xbox Live puzzle known as "Primetime." Essentially, it would be an ongoing series of game shows that players could participate in with friends using the soon-to-launch new Xbox Live Experience.

But Forbes reported Wednesday that Microsoft has decided to put off the launch of the Primetime element of XBE until spring, citing technical reasons.

"Aaron Greenberg, group marketing manager for Microsoft, said the company is still very dedicated to the concept of Primetime and continues to work on it," Forbes reported. "And, to be honest, the Redmond, Wash., team could find a way to make the delay a good move ultimately. If nothing else, the company will have more time to polish Primetime."

The plan, however, had been that the Primetime offering would be integral to the full Xbox Live Experience, which is scheduled for a Nov. 19 launch. Now it appears that Microsoft is going to have to tuck its tail a little bit between its legs as it pulls back on that original E3 promise.

In the new Xbox Live experience, much of the interface is designed to cascade horizontally across the screen, allowing users to see a wide selection of choices. On HD TVs, users will be able to see even more information, given the wider screen.

(Credit: Microsoft)

Whether you're one of the legions of hard-core Xbox players or someone who's only played with the game console casually, get ready for an all-new Xbox Live.

Since the first announcement of the new approach to the massively popular service at E3 in July, some longtime fans have fretted that Microsoft is morphing it into a place for purely casual players at the expense of those for whom Xbox Live is nearly as much a home as where they actually live.

Well, based on a demo I got recently of the (not quite finished) new version of Xbox Live, I'd have to say, fret no more.

Dubbed the new "Xbox Live Experience," this re-launched service--which is rumored to be launching in November, but which Microsoft will only say is due "before Christmas"--really does seem to have something for everyone: an easy-to-use graphical interface complete with deeply customizable avatars that casual players will enjoy, and all kinds of new functionality that will actually reward the dedication of the hard-core Xbox player.

With the new Xbox Live interface, users will be able to see all information relevant to their account in a simpler, easier-to-understand format.

(Credit: Microsoft)

Microsoft readily admits that there may be a bit of a transition period for those core players--a time during which a lot of griping might be heard--but the company fully expects a gradual realization on the part of those players that the new service takes the existing Xbox Live and adds all kinds of new community and interactive functions to it.

And, again, I would have to agree.

To date, the Xbox Live interface has been based on what are called blades, essentially pages of information stacked on top of each other in such as way as to maximize the number of choices Xbox Live players have and the directions in which they can go. They can see lists of games to play, choose to watch a movie, go into a section to buy add-ons for games, and so on. The new interface largely does away with the blades era and moves into a more advanced motif of full windows that spread out on the screen and stretch off into the distance, allowing users to shuttle through them, left to right or right to left.

But that's getting a little too far ahead.

The forthcoming Xbox Live dashboard redesign, which Microsoft showed at E3 in Los Angeles earlier this month. A user has posted a blog entry in which he has video explaining how to get access to newly-leaked versions of the dashboard.

(Credit: Daniel Terdiman/CNET News)

If you're a big Xbox Live fan and don't feel like waiting until this fall for the big redesign of the service that Microsoft has promised, there's apparently a way to play with a leaked version of it now.

That's the word from a blog called XHavok87, which this weekend posted an entry--complete with video--showing how to do it.

According to the blog, the so-called "Xbox Experience" dashboard, which is due out in the fall and was unveiled by Microsoft at its big-budget press conference at E3 in Los Angeles earlier this month, has found its way onto the Web. The blog's author claims to have figured out how to play with the new dashboard, and is happily giving instructions on how others can do it, too.

To be sure, this doesn't sound like something that every Xbox Live user would be capable of. But if you're somewhat tech-savvy and don't have problems messing around with code, various Xbox security checks, burning CDs, and things like that, XHavok87's hack might just work for you.

Rather than trying to re-create the instructions here, I'll just say that the XHavok87 blog entry has them with a high degree of detail. I can't vouch for the efficacy of the instructions, having not tried them myself.

But the video that goes with the blog post does seem to speak for itself. And so, if this is all true, it would really be interesting to know what the good folks over at Xbox Live and Microsoft in general are saying right now as their big fall reveal seems to have made its way into the hands of users already.