If you're a bit confused about what the dashboard update means for Xbox 360's video playback options, allows us to explain.

Actually, allow the Xbox Team blog to explain, as they know significantly more than we do about the new video formats that'll be supported by Xbox 360 after tomorrow's dashboard update.

The key part of the stats for keen video pirates is this little line:

"MPEG-4 Part 2, Simple & Advanced Simple Profile. Dolby® Digital 2 channel and 5.1 channel, MP3"

That's Xvid and DivX, basically, which means pretty much every hacked/stolen/illegal movie file out there on the web will play. Plus you're able to stream AVI files through Windows Media Player to your Xbox 360 over the network, which is all we needed to hear.

Good to see Microsoft finally catching up with what the hackers behind Xbox Media Center have been offering owners of chipped Xbox 1s for about five years...

(Via Xbox Team)

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