I got the new software system update today, but thought i would share this with whom it may concern.

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Microsoft has confirmed that a small number of consoles are being affected by faults related to a software update. The software update in question was released prior to the latest dashboard updated intended to expand the usable space on game discs. This mainly concerns anyone that has a 60gb Xbox model made in 2009. Fortunately Microsoft can detect this issue using the Xbox Live network and is proactively contacting gamers offering replacement consoles. Be sure to check your email linked to your xbox 360 live account if you feel this issue applies to you or contact xbox support for further verification.

Following a recent update to our system software, we have become aware of an issue that is preventing a very small number of Xbox 360 owners from playing retail game discs.

This issue manifests itself a as a unique 'disc unreadable' or 'disc unsupported' error on the screen. We are also able to detect this issue over Xbox Live and are proactively reaching out to customers that may be impacted to replace their console with a brand new 250gb Xbox Slim as well as a subscription for one year of gold.

This disc read error message is tied to a change in the disc reading algorithms in a recent software update and is not specific to older or newer versions of Xbox 360.

Any Xbox 360 owners receiving this error are encouraged to contact us at http://www.xbox.com/support/contact so we can verify if the console has been impacted.
Clarification time! The console replacement plan that is the subject of some of today’s headlines is related to a previous update, NOT the system update that has been in public beta and will be deployed shortly.

The new disc format that is part of the beta has been rigorously tested across all Xbox 360 models and there are no known compatibility issues. Hope that clears a few things up.
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