Microsoft this week booted as many as 1 million players from its Xbox Live gaming service due to the company's belief that they modified their consoles to play games illegally downloaded from file sharing sites.
"All consumers should know that piracy is illegal and that modifying their Xbox 360 console to play pirated discs violates the Xbox Live terms of use, will void their warranty, and result in a ban from Xbox Live," Microsoft said in a statement.
The move comes amid this week's release of "Call of Duty: Modern Warfare 2", the mostly highly anticipated Xbox 360 game of the year.
So-called warez copies of the game reportedly showed up on pirate sites prior to its release—a development that may have prompted Microsoft to take action, possibly in concert with or at the behest of Infinity Ward, the games publisher.
http://www.informationweek.com/news/hardware/peripherals/showArticle.jhtml?articleID=221601267
That's a massive amount of players! Looks like MS is finally doing something about modded consoles. I heard the Wii has an even bigger problem with pirated games.