from DailyTech
The friendly fellows from Team Xecuter thought that those hackers
shouldn’t be the only ones to be able to play backup games for the XBOX 360
game console, and has announced that the group is very close to releasing a
first generation mod-chip for XBOX 360.  The mod chip allows for two
separate firmwares to coexist in the system allowing for hacked and non-hacked
usage. 

Unfortunately for the mod-chippers, there
seems to be a major obstacle in the way — epoxy.  Epoxy surrounds the
firmware chip making it firmly attached to the XBOX, thus hindering the chance
to easily access the legs of the firmware IC. This leaves most people with
two different options: try to remove the glue (which is next
to impossible, short of breaking off the pins) or find alternative solder
points.   A member of the Xbox-Scene.com forums was able to post one possible guide to these alernate pin-outs, with a mere thirty solder points. 

XBOX 360 got its first taste of firmware hacks just last week when the DVD
firmware hack for the TS-H943 XBOX 360s was publically announced. 
The DVD-Firmware hack works by ignoring the non-present media flags on 1:1 game
copies.