Microsoft admits to video playback issue with Xbox 360

In December, after Microsoft launched the massive Dashboard update for the Xbox 360 console, reports started to come in that the quality of the console's video playback was not as good as it was before the update. Users complained on Xbox message board about issues with washed out colors and poor video compression. Eurogamer.net's Digital Foundry did an investigation and concluded that there were indeed some problems with the Xbox 360's video playback. However, Microsoft didn't respond to the complaints at the time.

On Thursday, Microsoft decided to admit there was a problem with the game console's video playback. Microsoft's Larry Hyrb posted a note on his Twitter account saying, "We’re aware of the colorspace issue w/ some Xbox video apps & are working on a fix. No ETA yet but we hope to have an update soon."

Neowin has the details HERE!