"We told you about here is now some time (see article ) reports a rumor of a new integrated protection in Dashboard KINECTS. It seemed that this new security is a continuous verification system firmware when connecting to live and preventing flashed consoles to connect to it ....
After the launch yesterday of the latest beta DashBoard (K: 2.0.12606.0), the rumor seems to become reality and the result even worse than previously thought. I
ndeed flashed consoles that have this update is no longer possible to run backups and displays this error."
source: www.logic-sunrise.com
Now that appears to be bs. Only Fable 3 is affected so far, this is an MGS game so they may use it as a guinea pig to try any new protections out.
Could those guys that have the preview dash please try other recent MGS releases and report back.