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Microsoft admits uptick in Live account hacking, writes it off to social engineering

Evan Blass

Everyone enjoys a good Xbox hack, but they're not so fun when the tables are turned and it's your Live account that's been commandeered by crooks -- who are supposedly draining your credit card while you're stuck on the sidelines with a duplicate, unusable Gamertag. While it's not surprising that hackers would hijack online accounts to snatch valuable personal info, the question being raised in forums and now in the media is how Microsoft has been dealing / plans to deal with these breaches. The company first admitted that "there have [recently] been reports of fraudulent activity and account theft taking place" on Live when contacted by CNET, and went on to say that it is "actively investigating all reports of fraudulent behavior and theft." However, Major Nelson is now reporting that Redmond has found "no evidence of any compromise of the security of the Xbox Live Network or," and is attributing all of the recent incidents to "malicious users...attempting to draw personal information from unsuspecting users." It's hard to imagine that the uptick in fraud revealed to CNET is due solely to an increase in gullible gamers, but unless Microsoft plans on tightening security, all you can really do is continue to exercise the usual precautions or cancel your account and get your MMO fix from Yahoo! Bingo.

[Via Joystiq]

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