From free-x on xboxhacker.net BBS:

Dear Public,

Today is a very sad day for Microsoft.

One month ago, we began an attempt to make contact with Microsoft, we did this because the first software only mod-chip solution was developed and proved working. This solution meant that there was no need to open the XBox anymore.

The modification only needs to be installed once and all existing XBox consoles are able to be modified to use this exploit, only new consoles with an updated Firmware could lock out this exploit.

After discovering this exploit a Team was formed known as the ?Free-X (box)? team.

Members of this team have made many attempts to initiate discussions with Microsoft by various means including:

1. Contacting certified XBox game developers requesting that they contact Microsoft to facilitate discussions about our discoveries.
2. Contacting major web-based news sources requesting that they contact Microsoft on our behalf.
3. Direct contact with various Microsoft departments globally.
4. Direct contact with Authorised XBox distributors globally.

Since our attempts to contact Microsoft have become public knowledge our team has been accused of attempting to extort or blackmail Microsoft, this is not true as we have made every attempt possible to make contact with Microsoft to offer the following:

- A complete summary of all hacking technologies (many of these technologies have not been released).
- Source Codes.
- All attacks which have been developed but not yet released.
- To sign a Non-disclosure Agreement regarding our discoveries.
- Further research on exploits, which would be exclusive to Microsoft.
- Full names of all hackers involved upon agreement of legal protection from Microsoft.
- Assistance in the development of future security for the XBox by working with Microsoft.

For the exchange, we were requesting but not demanding the following:

- Complete access to all documentation (chipsets, video etc.) to assist in developing a better Linux for the XBox.
- A signed Linux loader.
- Protection from Microsoft or support if any organisation/government attempted to prosecute members of our team.
- Refunding of the cost occured during the agreement period

To prove our discoveries we offered to make available an exploited dashboard for Microsoft to validate our claims.

Our team was more than willing to co-operate with Microsoft and would have most likely accepted most of the terms of agreement coming from our discussions.

If Microsoft had agreed to sign Linux then it would have been possible to generate a signature for the Linux, which would only work on current XBox consoles and able to be stopped in future revisions. It would also be possible to prevent the illegal use of pirated software.

Our team was of the belief that our attempts to initiate discussions with Microsoft would have been welcomed.

Members of our team contacted Microsoft quickly, but then suddenly Microsoft ceased responding to our enquiries. Third parties contacting Microsoft on our behalf also proved to lead to a dead end, is the giant Microsoft's reaction just incompetence or intentional??

Following the public release of this request for communication on the ZDNet/CNet network, Microsoft promised a formal response and as yet we have not seen one.

Is it possible that Microsoft's lack of co-operation in this matter could be because they believe that:

1. Mod-chips are good for business as they increase the sales of the console hardware and that they see them as an important part of there business model.
2. The Exploit can be fixed in future software updates.
3. This is purely a hoax.

A team member called a Microsoft representative again (Mr. Thomas Kritsch of Austria) and offered a presentation.

This presentation was scheduled for 20th June, but Microsoft cancelled it on 19th June. During a phone discussion on this day Mr Kritsch asked many questions.

Everything was explained to Mr Kritsch including our proposed release schedule, at this time Mr Kritsch insinuated that members of the Electronic Arts programming team were 'stupid' for allowing an exploit such as the habibi 007 trick to be found.

Mr Kritsch was contacted by email and advised that we would release a modified habibi exploit for Microsoft's own MechAssualt game on 23rd June which allowed plenty of time for Microsoft to request that we not release the exploit but no communications from Microsoft was received.

Many further attempts have been made since this time begin discussions with Microsoft.

We believe that Microsoft sees hackers as a perfect instrument for increasing the sales of the XBox. How else can their reaction to this issue be interpreted?

The software companies who are developing titles for the XBox should be very worried by the lack of protection that Microsoft is offering their work as exploits such as those found by our team pose a serious threat to potential sales due to the possible use of such exploits for software piracy.

Many people have speculated as to who the representatives of our group are, Microsoft and ZDNet are fully aware of the identities of those people who are authorized to speak on our behalf.

Our team has no connection to the Xecutor, EvoX or Xodus teams who make millions of dollars thru their illegal activities and still manage to avoid any sort of legal prosecution from Microsoft. This doesn't seem all that strange in light of Microsoft's reaction to the potential illegal uses of the exploits that we have discovered.

Our team has no relationship with the XBox Linux Project who share the same goals as our team which is to provide a great Linux solution for the XBox.

We have made every possible attempt to achieve our goal of running Linux on the XBox easier without the risks of encouraging software piracy, it is a shame that Microsoft appears to not share our concerns about protecting the intellectual rights of those who develop software for their console.

News-Source: MaxConsole.com, xboxhacker.net BBS