What everyone seems to be missing with UDE / UDE2 / UXE installed, a "FORCED" update
cannot occur. This was dicussed on the star wars thread and a few other ones. When the update.xbe is loaded from a dvd, it calls on the fonts from c:\fonts and then c:\. The hacked fonts will cause the box to halt before beginning any update process. The only way I see them getting passed this is to make a xbe that doesn't rely on these fonts or make a xbe to handle the hacked ones. A self-extracting xbe would most likely get the job done. Extract retail fonts to a temporary cache drive, load them, delete after use. This would be the best / easiest way to screw us.
I hope ms isn't reading this thread

. Regardless, we will be ready for whatever they want to dish out. That is if all the speculation is true.
Of course if you restore your box to a retail state to play it live, something damaging can happen. As soon as it's released we (angerwound and I) will let you know how safe it is.
As for UXE's release, we are not waiting until after halo 2. Like someone said before (Sorry I can't quote whoever it was, I'm on my pocketpc) the hole is the same one used in UDE 1 and 2. It would be pointless to wait. If UDE turns out to be closed, sadly this will be too.
-devz3ro
P.S. The fonts (internal) were created by rmenhal. We are just waiting on the Japan confirmation to release.