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Microsoft Begins War On Fraud

Microsoft is, perhaps more than most, aware of Xbox Live's growing security concerns. In a blog post on MajorNelson.com today, Xbox Live General Manager Alex Garden explored the troubling present and hopeful future of Xbox 360 safety. While he maintains there's not yet been a breach in Xbox Live's security, he confesses that the rampancy of account hijacking is discomforting for his company's customers, many of which have indeed been victimized with compromised accounts.

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xboxlive.ign.com
Brosy5211d ago

I just wonder how much they can actually do since this problem is mainly caused by the consumer. I mean sure you can investigate, freeze the account, and return losses to customers. But the customer is one thing at fault in the first place. Real hackers are also to blame for stealing the information to begin with. I hope they stay vigilant and stamp out these problems. It must be a pain in the ass to have your account stolen.

Thielkesp185211d ago

Yep, I had my account stolen. They took my account purchased $20 of Microsoft Points and then used it for in game content for Fifa 12. Microsoft told me that this happens a lot with Xbox live accounts. They do a small amount because it could be missed unless you look at your accounts often.

darthv725211d ago

if someone uses your account to get points and buys content wouldnt that content be yours to download as well? I mean they had to use your account in the first place so there would be some trace of the purchase in your account history.

You may not have wanted the fifa content but if you had the game yourself then you would have the ability to use it as well.

on topic...: What i am wondering is if there are so many of these stolen accounts with such small things then how does MS know who is real or not? Anyone could call them up and say their account has been hacked and try and get some kind of credit back if they bought something they didnt want.

MS does not offer refunds so this could be a new way of getting refunds for purchases people make but are then have 2nd thoughts. Some accounts that have been hacked are legit but how many are people just trying to get in on the action?

Where does personal responsibility fall into things?

dragonelite5211d ago

And all the database hack results being out there and people having the same password on multiple services.
Also doesn't help.

LiL T5211d ago

I was under the impression, due to n4g xbox users, that this kinda stuff never happens and if it does its the user fault. So Why are they concerned if the n4g users say theres nothing wrong?

SaffronCurse5211d ago (Edited 5211d ago )

Yeah because apparently xbox live is unhackable., impenetrable to any sort of attack.

dragonelite5211d ago

nothing is unhackable the only thing you can do is make it to hard to hack so its financially or not worth the effort to hack.

ZippyZapper5211d ago

Xbox Live hasn't been hacked "there's not yet been a breach in Xbox Live's security" <-- reading helps fellas.

Hurry! go write your 320th blog campaign trying to convince people that Phishing Live accounts = the same thing as PSN hack. N4G Sony kids need it after the past few months they had.

SaffronCurse5211d ago

Ok i did not mean the service itself, but for some reason i feel that there is more theft, phishing going on in xbl than psn... Abit strange.

DFresh5211d ago ShowReplies(3)
Christopher5211d ago

***While he maintains there's not yet been a breach in Xbox Live's security***

It's my contention that brute force attacks being successful are signs of a breach in security.

Anyway, glad to see Microsoft actually doing something, but hell if I don't believe they need to greatly improve their Live security. Personal sites have better preventive methods for such attacks than Live.

gamingdroid5211d ago (Edited 5211d ago )

***It's my contention that brute force attacks being successful are signs of a breach in security.***

That is a first time I have ever heard anyone claim brute force attack is a breach of security.

I suppose extending that, one could also claim any system with a password that has had even just one unauthorized access has had a breach regardless of how that "breach" occurred....

Neither says much though.

That said, there is an opposition between usability and high security. MS just choose the former.

Christopher5211d ago (Edited 5211d ago )

***That is a first time I have ever heard anyone claim brute force attack is a breach of security. ***

You're kidding me, right? Letting brute force attacks to continue in this manner is a sign of weak security protocols, ie a breach of said weak security protocols.

Here are the standard and widely used methods in which brute force attempts can be prevented.

- Intrusion Detection/Prevention Systems: installed at various firewall levels. Detects and handles unusual activity from various sources and over a specific amount of time.

- Account login disabled upon multiple failures to log into the system with an e-mail sent to the account holder on this action and a link to unlock the account.

- CAPTCHA enabled after a single, unsuccessful login that is tied to the username/e-mail address on file to require it for all logins until a successful one is made.

Honestly, not having protocols and a system to handle such simple attacks isn't a sign of a weak security system that can be breached? This isn't the 90s.

And none of this is 'high security'.

gamingdroid5211d ago

It's a weakness of the password system in general.

MS used a CAPTCHA after 8 attempts, which pretty much falls under the category of:

***- CAPTCHA enabled after a single, unsuccessful login that is tied to the username/e-mail address on file to require it for all logins until a successful one is made.***

You must have a very weak password if brute forcing with 8 attempts was a success.

Also, displaying a CAPTCHA after ONE failed attempt is plain disgustingly user UNfriendly.

***Honestly, not having protocols and a system to handle such simple attacks isn't a sign of a weak security system that can be breached? This isn't the 90s.***

In fact, MS captcha is pretty strong strongest as illustrated by PWNtcha inability to "guess" the answer unlike many other "weak" captcha's:

http://caca.zoy.org/wiki/PW...

Hint: scroll down to the bottom titled "Other captchas and hard captchas"

Christopher5211d ago (Edited 5211d ago )

***MS used a CAPTCHA after 8 attempts, which pretty much falls under the category of: ***

Actually, they failed because what they didn't do is tie the need for CAPTCHA to the username/e-mail. The problem is that the CAPTCHA could be easily avoided by going back to the initial login page and trying 8 more times.

You see, the brute force wasn't just 8 times in a row, it was thousands of 8 times in a row on the same account.

gamingdroid5211d ago

@cgoodno

You are right!

I didn't realize MS screwed up on the captcha reset. That is an implementation weakness, and I expect more from large corporations like MS.

+ Show (1) more replyLast reply 5211d ago
5211d ago
70°

Microsoft Gaming Revenue Drops 7% Year-on-Year, Content and Services Down 5%, Xbox Hardware Down 33%

Microsoft announced its financial results for Q3 of fiscal year 2026, including an update on its gaming Xbox business and more.

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simulationdaily.com
Jin_Sakai17d ago (Edited 17d ago )

Not looking good. Hopefully Asha Sharma is able to turn Phil’s disaster around.

dveio16d ago

To me it's still quite remarkable how they can cash-in 5.3bn in revenue in a single quarter, since their hardware is basically dead.

Jingsing16d ago

The stock mark is what makes Microsoft remarkable, They have convinced every institutional and retail investor to just keep piling money into them. Like many big tech giants they are just a big growing pyramid scheme. As long as people keep dropping money into ETF's that cover the market Microsoft will always be liquid. At the same time it is completely stifling innovation and competition. People need to start being more discreet in how they invest their money as it's killing the system.

Tanktopmaster9216d ago

Once they re-evaluate exclusive all will be fine….

S2Killinit16d ago

Riiiiight because people will just flock back to them for one or two games per year.

Jingsing16d ago

15+ years of bad performance is what they call irreparable in business. It is time for them to sell off the assets and get out of entertainment.

Tanktopmaster9216d ago

These declines are on the back of extra revenue received from releasing games like Forza horizon 5 on PlayStation. So I’m being sarcastic here when I said they should go back to exclusives. Killing off a revenue stream from Ps5 sales will only make things worse

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70°

Xbox boss: Memory crisis could impact next-gen hardware pricing

Xbox boss Asha Sharma has discussed how component shortages will impact the company's plans for Project Helix.

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gamedeveloper.com
Eonjay18d ago

When does this end? Its killing everyone. Consoles and PC. And for what? AI? The benefits of AI are completely outweighed by the negatives. And the government should have never allowed one company to buy up all the RAM.

Lexreborn219d ago

This kind of proves this is an after thought product, most products like this are in r&d 5 years before they start mass producing. So they typically have the cost of components and things worked out long before assembly starts.

This is an assumption still, but I wouldn’t be surprised if project helix is similar to Scalebound,perfect dark and sod3. They had an idea but no actual execution other than concept stage. Being impacted by the ram shortage likely would also put this device 3-4 years out.

I’m not even sure MS has that endurance with Xbox yet

Fishy Fingers19d ago (Edited 19d ago )

I mean.... what?

We're at a point that Samsung wont even provide their own phone department ram because they can sell it at higher prices to 3rd parties (AI). Its more profitable to sell the ram than make their own devices with it.

You think because R&D starts 5 years ago the 3rd party component manufacturers will honour that price? They'll sell it to whomever is paying the most today, not some gentlemens agreement they made years ago. AI farms will buy more volume at higher prices than any console manufacturer will. It'll be the same for Playstation.

Lexreborn218d ago

Contractual agreements are not the same as “gentlemen” agreements. If you think that they work with their distributors a month before production then their entire business model is trash. They work with companies like nvidia constantly for building the graphics cards they need. They work with companies that build motherboards years in advance. This is what proper business planning does.

They are not buying components on a whim like a consumer. So again, considering the ram isn’t a singular module and is integrated into the motherboard I highly doubt they wouldn’t have a final schematic that they are supposed to be building around.

If they are delaying production another 3 years then it’s obvious again this is an after though project and is just trying to be responsive to their bad execution they had the last 14 years.

It also isn’t far fetched to use their failure to produce first party titles the last 7 years including the highly anticipated games I mentioned all being cancelled. That they would continue to you know… lie

Sitdown18d ago

You don't really know how this works huh?

Profchaos19d ago (Edited 19d ago )

Helix is going to be stupidly expensive

Instead of leaning into smarter upscaling techniques they're brute forcing hardware that will cost them dearly and it remains to be seen if it's genuinely going to provide a meaningful differential

I know in the oc.doace people like to brag about not using frame gen or dlss to get to high on a game but for the majority of players they happily use those technologies without a second thought

That's going to be ps6 vs Helix

Eonjay18d ago

Yeah with FSR 5 they should be able to offer a much cheaper version of Helix.

Eonjay18d ago

While this does seem to be the case, I am encouraged by the statement from Microsoft about wanting to provide affordable options. If this means a Series S style Helix, at least there will be something affordable being offered.

XBManiac18d ago

Series S is what has killed Xbox Series so... Will they dare?

blacktiger19d ago

It's called systematic inflationary. Yes we get it Microsoft, keep raising in the name ofall kinds of stuffs

pwnmaster300019d ago

Honestly if there was thing I learned from this generation is that new consoles arnt day one anymore.
I can wait 1-3 years.

DarXyde19d ago

Another important lesson from this generation: while Nintendo showed us that prices don't necessarily need to ever drop, we've now learned that waiting 1-3 years does carry some risk that prices increase. This generation is just bizarre in all the wrong ways.

LucasRuinedChildhood18d ago (Edited 18d ago )

The factors are largely external. Covid and Russia-Ukraine war causing inflation led to the first price increase in 2022.

Then we get Trump's tariffs increasing hardware prices, AI boom causing a RAM crisis, war on Iran causing a worldwide fuel crisis which impacts the cost of everything.

Gaming doesn't exist in a vacuum. The last few years have been a shitshow and lot of it was definitely avoidable.

DarXyde18d ago

LucasRuinedChildhood,

For sure. No disagreement on the external factors doing a lot of this. Where I have to gently push back however is on two fronts:

1. The pandemic definitely caused some issues: asynchronous development was a big issue and really complicated timelines and affected game quality. At the same time, when it comes to price hikes, it's really difficult to know what was genuine necessity and what was taking consumers for a ride. The pandemic brought about "stag-flation" which was increasing prices and stagnant wages, which was a problem caused by supply chain constraints. There was also "Greed-flation", where companies that were slightly affected or had no issues took advantage of the situation and squeezed everyone citing supply chain issues when there were none.

2. It's definitely true that the tariffs, AI boom, and RAM crisis were all things enabled by tech broligarchs throwing money at this caricature of a world leader, one of them being Satya Nadella. I don't think Sony and Nintendo have contributed much to this problem if at all, but Microsoft's Nadella I feel was instrumental in causing every one of those issues. Microsoft as a company contributed to both candidates (though they gave Harris 4x as much if I recall), but Nadella was all in on letting AI run wild. He paid for unregulated AI, and got a war that's not a war (even though Trump called it that at least five times on television) that screwed up helium access. So for me, I feel that one of the players in the gaming industry is a key architect of these issues, and for that reason I struggle a bit to think of it as "external".

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50°

'The big things that we're thinking about'

In an exclusive interview with Game File, new(ish) Xbox boss Asha Sharma and Xbox chief content officer Matt Booty explain their vision for Microsoft’s gaming division

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gamefile.news
Agent7520d ago

A good start would be to release games to go with the console. My Xbox Series X has gathered dust virtually from launch. My advice would be to ditch a next console and release games on PC, PlayStation and Switch. Another idea would be a hybrid console based on Xbox Series X tech and go the same route as Nintendo. Another idea would be to pull out of gaming altogether. Plenty of options there.

Reaper22_17d ago

Why would they pull out? They have the momentum. Sony has been getting nothing but bad news lately.