01100111 writes "Over the Christmas period, many Xbox LIVE users experienced outages, and now Microsoft have acknowledged that fact.
The software firm said it was "disappointed" with its performance and promised a free downloadable game to all users as recompense.
As a reward for their patience, Mr Whitten said all eight million members would get access to a full Xbox Live Arcade game free of charge. Details of how to claim this game would be made available in the next few weeks, he explained. He added the outages were driven by a record-breaking number of new members signing up, and the biggest ever number of concurrent users.
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