Comment Not just banned from XBox Live... (Score 5, Informative) 453
I've been reading the argument that people have just been banned from XBL, because modifying your console somehow violates the TOS of XBL.
However, this time the ban does not just kick you off online multiplayer, it also disables functionality to install games on the included HDD! Games already installed on that HDD will not be accessible anymore. Also, any savegame you continue playing with on the banned console will get tagged with the result that you can't copy it to any other (banned or unbanned) consoles anymore.
Since a lot of people bought the Xbox360 with the ability to install games on the internal HDD right out of the box it can be argued that MS impaired the users' hardware in some way.
Also: it is rumored that it is possible for MS to band your console through future (mandatory) updates on game discs, even if you never played online. The technical capabilites are there, but if they ever start doing that their XBL-TOS-argument will be seriously flawed.