Alright, now I can get Avalaunch to load and the menu comes up however, at the bottom it says that it is trying to connect to some *.*.nasa.gov site. Soon after, like 5 seconds at most, it freezes the xbox. I looked at the xml file and it has nothing about the nasa site connection. One thing I don't get is that the xml file is using F:\games and I don't have an F:\ period. Could this be the problem or would it be something like the xbox trying to connect to the nasa site and it's not even connected to the Internet. Any help would be cool.
Specifically, look for the line:
<apod enabled="0" random="1" explanation="1"/>
and make sure that the 0 is a 0 and not a 1 
It should have been off by default though....
Alright, everything works now but the file manager. It just freezes when I select it. Also when I connect from the PC through FTP it shows F:\ (Err: 1005 Free). I don't know if this has anything to do with it. My file manager line looks like: <item presetname="File manager" function="FileManager"/>
Since you don't have an F: drive, disable it (You can do it from with in ava...) That may be why the file manager is freezing...
I disabled F and it still freezes when I click on file manager. I also got a new router today and I can not connect to the xbox anymore. Don't know why, It shows lights for both things being connected.