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They can probably do some kind of SA-1 hash check, and see if it was altered, but a "hidden" firmware update is not likely. Other than pretty much destroying the dvd-rom of anyone who accidentally powers theirs off, it cannot be done without the users consent (legally).
There are many privacy issues. MS does not own your console, signing onto a service like xbox live does not give them the right to alter your hardware without you knowing.
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--v1.0 [COLOR=Gray]case modded[/COLOR] Xbox with a [COLOR=DarkGreen]160gb[/COLOR] HDD upgrade[URL="irc://irc.efnet.net/fileforums"] [/URL]
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