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mine can!
i put vcd in tray
i go into xbox media player i have 2.4
choose my videos
then i choose either
cd/dvd in xbox(udf)
or
cd/dvd in xbox (iso9660)
either one it don't matter
then MPEG2
then i click on avseq01.mpg
or whatever it's called
it plays SVCD aswell
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