QUOTE(amb7247 @ Jul 28 2006, 04:32 PM)
Perhaps you don't get it. XBMC is not meant to run as a standalone on the console. It's designed to run with windows and only windows. You do realize MS makes the extender without it being built in with the 360? All they did was take that an integrate the key components into the 360. now I could agree with the Xvid/Divx but there is transcode 360 out for that so why should MS provide that? MS may not be able to offer it. They do not have the license for Divx/Xvid so therefore even if they wanted to sell it, they can't until they come with an agreement with the creators and/or ownership of that format.
First of all - XBMC is Xbox Media Centre, a homebrew application/dashboard for the Xbox. The 360 is powerful enough to playback various media without a PC, it does not need a media extender. XBMC on the Xbox is superior to the 360's media capabilities in terms of video.
It would NOT be a big deal for MS to issue a dash update that allows increased playback functionality. It's simple software engineering, not some magic
I'm sure "Media Extender" would be useful however, but since I cannot even try it as it only support US consoles at the moment, I cannot judge it.
As for Divx, MS could easily license it and have it paid for by people who want it on the market place.