Microsoft is investigating research from a team that suggests credit card information can be stolen from used Xbox 360 consoles even after they have been put back to factory settings. The Xbox allows you to restore your xbox 360 to factory settings, which should erase all the content on the consoles hard drive, including credit card info, game saves, game demo's and gamertags.
But this research team says there were able to extract credit card numbers from refurbished Xbox 360's using simple hacking methods.
"Microsoft does a great job of protecting their proprietary information, but they don't do a great job of protecting the user's data," Drexel's Ashley Podhradsky tells the gaming site.
Microsoft has responded with...
"Xbox is not designed to store credit card data locally on the console, and as such seems unlikely credit card data was recovered by the method described," says Jim Alkove, general manager of security in Microsoft's interactive entertainment wing.
Alkove also says that the company wipes out local hard drives on all refurbished consoles before they are re-sold.
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