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[y2drew]

Okay. I've only had an XBOX just over a week and I had the same problem when I tried to do this on mine. I'll try to explain:

First you must share any folders by right clicking them and share them.

Edit the config.xml file.

Scroll down, you should see a bit that looks something like this:
   <music>
     <visible>true</visible>
     <share>
       <name>Live ShoutCast from XboX</name>
       <url>e:\music\shoutcast</url>
   <cachesize>128</cachesize>
     </share>
     <share>
       <name>Music Recorded on XboX</name>
       <url>e:\music\Recordings</url>
     </share>

Notice the it's the music section.
So if you wanted to add a folder of MP3s you should add a section here.

   <music>
     <visible>true</visible>
     <share>
       <name>MP3</name>
       <url>smb://:@WORKGROUP NAME/COMPUTER NAME/EXACT FOLDER NAME</url>
       <cachesize>256</cachesize>
     </share>
     <share>
       <name>Live ShoutCast from XboX</name>
       <url>e:\music\shoutcast</url>
   <cachesize>128</cachesize>
     </share>
     <share>
       <name>Music Recorded on XboX</name>
       <url>e:\music\Recordings</url>
     </share>

The "MP3" on the 4th line down is the title it'll be given on the XBOX. Insert your workgroup name, computer name and the exact folder name.

Remember that if you have a folder called containing MP3s and you put it in the video section (there are three sections in the xml file (music, pictures and videos)), they won't show up. In other words, if you have a folder with a picture, a video and a MP3 in it you'll have to follow the steps above and put it not only in music, but in pictures and videos sections as well.

I hope this is remotely clear, tell us if it works.