i sent a email to the the site and and the guy sent me a messag:
These problems(the x box live update) you are talking about doesn't affect the x2 mod chips, one of the major reasons these new chips where made where because of xbox live, the x2 mod chips do this
boot evoxdash.xbe
boot nexgen.xbe
boot xboxdash.xbe
(in that order)
mean, you call evox (evoxdash.xbe) and ms dash (xboxdash.xbe) so when you run the update for xbox live, it works fine and doesn't mess up evox or nexgen for the matter. This is due to the new x2 bios..

Much better than bios..
Thank you,