While the launch of the new Xbox 360 dashboard was clearly aimed at continuing Xbox's transformation from a games console to a fully fledged media hub, it appears to have reduced the quality of video playback.
According to a Digital Foundry investigation, the new dash forces video content to run at limited range RGB levels, resulting in washed out colours, with blacks becoming grey.
The issue is said to have been flagged up by beta testers on numerous occasions ahead of launch. Microsoft's response was reportedly to delete all threads referring to it, and to deliver this message:
"Thanks for the feedback! Though we will not be able to incorporate your feedback into this release we will save it for consideration in future releases. Thanks for using the new Xbox Update and please keep up the feedback!"