Hackers Already Working On USB Update Exploits

Today, Microsoft has rolled out a planned update that allows the use of USB Flash Drives to be configured as memory storage on the Xbox 360 console; this allows for profiles, gamesaves, downloadable content and even games to be installed on any compatible USB memory device. All Xbox Live users will have to apply the update whether they want this feature or not as it is a mandatory installation.

The update brings the following memory enhancements:

You can have 2 devices connected to the console at a time, enabling up to 32GB of simultaneous storage.
The system won’t just configure the device once it is connected to the console. You’ll need to head to the memory area in system settings, select your USB Device, and choose from Configure Now (Format and Configure the Full Device), or Customize (you can choose how much memory you want configured for Xbox360 from the free space on the device.)
You can now select multiple items to move or copy without needing to transfer each item individually from one device to another.
It has come to the attention of modding groups that once the Xbox 360 associated files are saved on a USB memory device they appear unreadable on any computer, with the folder list displaying itself as empty. Futher investigation by the group has revealed that a folder named XBOX360 is kept hidden, and all Xbox 360 transferred items contained within it are stored together grouped in files that are unable to be individually extracted. With the current USB update, Microsoft has made saved content more difficult to access than previous memory card methods which was to simply insert the card into a device that plugs straight into your computer and copy it across using drag & drop. Folders are now encrypted files, and content transferred to USB memory from the Xbox 360 are stored within the files together rather than listed individually as numbered content.

Within just a few hours of the update, a member of the modding group is already claiming to have hacked the security methods on the files to try and create a program that extracts content to a PC desktop.

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