Yesterday, Microsoft lifted the veil and unleashed an exciting update to its XNA Xbox 360 development software by adding Xbox Live support. XNA 2.0 is available to aspiring game developers and now features complete Xbox Live functionality including matchmaking and co-op gameplay. Not only that, but more than 15 other tweaks have been released in this 2.0 update including Visual Studio support, enhanced project management, API updates and more. Also, Microsoft announced their second annual XNA Dream-Build-Play contest where they're calling on developers to create a game in hopes of getting it published to the XBLA. Our friend James Silva did it, so can you! More information about Dream-Build-Play 2008 can be viewed here and you can get the complete dish on XNA 2.0 after the jump. Start building fanboys, you have games that need creating and we have games that need playing.