Know what sucks about this.......
Microsoft created the security for the Xbox 360 to prevent 1st - Piracy, 2nd homebrew or un-authorised code from running on the xbox 360.
With that being said - they took the second thing, HOMEBREW and tried to turn it around by offering code creators club and giving people the ability to create software for the Xbox 360. We have already seen Emulators and such created using the tools that Microsoft has offered the development community. Yet this development community isn't as exciting as it was when we got unsigned code to run on the original Xbox, if it was we wouldn't be looking for a way to run unsigned code still(as we are), we would just go buy a subscription to download from the official development community that already exist.
Now I hate to say it, I applaud Microsoft for all their efforts on the 360 - but with the community exploiting the 360 and offering every person the ability to run backups (with no modchip required-M$ do you remember dreamcast?) - and I think this was the one thing microsoft wanted to prevent, yet with a simple firmware flash m$ worst nightmare has come true.
As for the true hardcore users we have all fallen prey to the same security to prevent us from truely enjoying some of the best HOMEBREW Applications that await us. XBMC is probibly one of the best and only reasons to own an Xbox (these days) - and as I stream video through my Xbox on XBMC and type this - I hope and pray they find a way for us same users to use homebreew code sometime in the near future - as I like emulators too and I think that the 360 would be a great powerful alternitive to enjoying console games of the past, Homebrew emulation would make the 360 100 times better that Xbox live arcade, Wii VC and PS3 Download store combined
I am Quite excited by this news, but I only hope that the homebrew that we are all awaiting comes to us soon (X360MC) and that I can once and for all, retire my Xbox and exclusive fireup my 360 every day and continue to use the best media application that was ever coded.
PS: I have now coined the term for the next media center application for the Xbox 360, the XBMC team will not call it XBMC360 or XBMC2 it will be X360MC - or - 360MC, and the tag line for this new media center, next generation has finally come full circle, X360MC - ok so im ranting