A newly discovered “Hypervisor Hack” has enabled users to sideload unsigned code onto their Xbox 360 consoles using just a USB stick and special software. This exploit, dubbed BadUpdate, can be installed on any Xbox 360 model, including later revisions with the latest system firmware.
The process requires downloading a trial version of an Xbox 360 game – such as Rock Band Blitz – to the USB stick and running the exploit from there. The significant upside is that no internal modification is required on the console itself, making it reversible and non-permanent.
However, the mod does have some drawbacks, including requiring re-execution every time the console is powered down and taking around 10-15 minutes to complete. Users will also need to patch their homebrew executables to make them work.
Despite these limitations, the fact that a simple USB exploit can unlock an Xbox 360’s full potential is a remarkable achievement. Fans of the console are now looking forward to accessing games they wouldn’t have been able to play otherwise.
This development has brought up comparisons with other classic consoles, including the Dreamcast and PlayStation 3. The PS3’s “OtherOS” mode, which allowed for Linux installation, was removed in an update, but a critical flaw in Sony’s private key generation process revealed the root key, allowing hackers to access the network.
With this new exploit, users can now explore their Xbox 360 library without needing physical modifications to the console.
Source: https://www.timeextension.com/news/2025/03/you-can-now-hack-any-xbox-360-with-a-usb-stick-but-theres-a-catch