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NewsMicrosoft "aware" of Xbox 360 color space issue, working on fix
Microsoft has finally admitted to color space issues on video playback following the recent Xbox 360 dashboard update. Major Nelson has acknowledged the issue where users are experiencing problems with color space on video playback using certain Xbox video apps and promised a fix is on the way.
"We're aware of the colorspace issue w/ some Xbox video apps & are working on a fix," Nelson announced. "No ETA yet but we hope to have an update soon."
The update should fix the issue relating to black levels becoming more gray and washed out colors in videos. Game playback is reportedly unaffected. Nelson didn't describe what is causing the problem, but Engadget has said that other reports suggest that the HDMI output has HDCP authentication problems with certain TVs or receivers that blocks video output. Digital Foundry suggested that the new upgrade forces video content to run at limited range colors.

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