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MS Investigates Fraud on Xbox Live

Microsoft is no stranger to accusations that its Windows security software is a little, well less than secure, and now it's having to look into accusations that there is fraud occurring on its Xbox Live gaming service.

Xbox Live is the community service on the Xbox games console that allows users to interact with other gamers worldwide in order to play games together and also allows users to purchase services via the Xbox Live Marketplace. Xbox Live subscribers purchase 'Microsoft Points' with a credit card and can redeem those points for the products such as map packs, game extensions or arcade games for download to their Xbox hard drive.

The allegations of fraud first came about in February when an Xbox Live user posted a message on the Xbox Live forums alleging that his or her account had been hacked and Microsoft Points purchased and used without permission. It seems that it wasn't the only allegation as Microsoft has now come out and publicly admitted that it is investigating further incidents of fraud on the gaming network.

It remains to be seen if the fraud relates to a software or network security problem or if criminals are exploiting the network's community based features to extract sensitive information from other players. While any community network will run the risk of criminals abusing the confidence of others, should any network or software security glitch come to light it will be very embarrassing for Microsoft.


Tags: microsoft, xbox, xbox live, XboxLive

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