So it went live today, I just downloaded it myself, the biggest feature, the ability to download Xbox Originals, or full games from the original Xbox. If you plan on making a habit out of it, I’d recommend upgrading to the 120GB Xbox HDD first, Fable was one of the first 7 titles available, and it was 3.3GB I believe, so it’ll eat up the 20 gig hard drive quick.
On top of that there is the XBLA Hits program which is a lot like the Greatest Hits game program, where the best games, after a certain period of time, get labeled Hits or Greatest Hits and get a drop in price, same thing, but for XBLA. The rumored news feeds are also present and they show things like new games and updates to the Xbox Marketplace.
The extended bio for your Xbox Live profile is also there as well as the ability to see the friends list of your friends, kind of like social networking. The family timer settings are there as well as the full screen movie previews and the special buttons for the dashboard to take you directly to XBLA or the Video Marketplace. So, all is good, go get the update, and enjoy, oh, and in case you were wondering, Halo is in the list of downloadable games too, just the original one for now though.
Xbox 360 firmware update goes live [via tgdaily]