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we thought our x box was broken we couldn't connect w/ x box live , found this article from microsoft , explains why
jack

c & p
Thousands of Xbox 360 owners who have been cut off from Microsoft's Xbox Live service will have to buy a new console if they want to play online again.

Microsoft told BBC News that banned machines will be permanently barred and "unable to connect to Xbox Live".

A message displayed on affected consoles said there was "no recourse for terms of use violations".

Microsoft has barred as many as 1m gamers from Xbox live for modifying their consoles to play pirated games.

"Users of banned Xbox consoles can recover their profile to another, unmodified Xbox 360 console to resume their Live service," the firm told BBC News.

"The banned console will be unable to connect to Xbox Live."

However, modified consoles will still work offline.

'No recourse'

Microsoft said barring gamers was part of an ongoing drive to curb piracy.

But a statement from them suggests this latest wave was timed to prevent people from playing pirated versions of the widely-anticipated Call of Duty: Modern Warfare 2.
“ We believe that even one modified console on the system is one too many ”
Microsoft

"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," the firm said.

Microsoft said that it had banned a "small percentage" of the 20 million Xbox Live users worldwide.

Many gamers modify their consoles by installing new chips or software that allows them to run unofficial - but not always illegal - programs and games.

Some BBC News website readers claimed that they had "modded" their consoles to allow them to make back-ups of games that they had already bought.

"Discs are very fragile things and some users like to have their games backed up," said Donald Glass of Aberdeen.

"After all you will have paid £40 for a new disc. It is my opinion that once you buy a disc you should be allowed to do whatever you want with the media as long as you do not break copyright laws."

Microsoft has not said how it was able to determine which gamers to disconnect.

"We do not reveal specifics, but can say that all consoles have been verified to have violated the terms of use," the firm said in a statement.

It said that gamers who had been barred were using their modified consoles to "play illegally pirated games".

"We believe that even one modified console on the system is one too many".

Industry figures suggest that piracy may cost the video game industry as much as £750m a year.

Reports have speculated that new "mods" could soon be on the market that allow gamers to get round the blocks.

microsoft should spend more money on creating an operating system and a browser that works instead of worrying about a few geeks that modded their xbox.

I DO NOT TEST.I DO NOT CONDONE ANY ILLEGAL ACTIVITY.ANY INFO THAT I SEEK OR PROVIDE IS SOLELY FOR EDUCATIONAL PURPOSES ONLY.USE AT YOU OWN RISK.USE YOUR STB FOR TRUE FTA CHANNELS ONLY

there are already several ways around being banned just type it in google some of the info is valid, I wouldn't know from experience of course but thats what I have heard

THEM GAMING COMPANIES ARE JUST AS BAD IF NOT WORSE THAT OUR FRIENDLY TV PROVIDERS REALLY WHO IN THERE RIGHT MIND CAN SPEND ALL THAT MONEY ON THE CONSOLE CONTROLLERS AND GAMES JUST TO SEE NEXT WEEK THAT A NEW GAME OR SYSTEM IS OUT THERE THAT IS BETTER. IM GLAD I DONT HAVE THAT HABIT, SORRY FOR YOU GUYS THAT DO BECAUSE THEY WILL KEEP YOUR POCKETS DRAINED AND YOUR BRAINS WACKED

GO BIG BLUE!!