Microsoft may have leaked non-secure Xbox 360 media to retailers
Reports from a game console enthusiast site, apparently verified by independent members of its forum just before Christmas, state that Microsoft distributed to retailers who display Xbox 360 consoles in their store kiosks, a self-booting playable demo disc without incorporating the company's usual security protection. As a result, .ISO binary images of the disc can be made, redistributed, burned to CD-R media, and played from those replicated discs.
While such an inadvertent release poses no immediate threat to Xbox 360 commercial products, since none were included with the kiosk demo, the existence of a non-secure disc whose binary image can be run from ordinary media, could expedite the efforts of individuals seeking to discover the secrets of Xbox 360's file system.