This stuff just never stops does it, just read this on xboxscene, what will they do next
Windows 2000 on Xbox via Linux
>> From Xbox-Linux :
EUROPE -- September 26 2002 -- Today the Xbox Linux Project announced that Microsoft Windows 2000 has been successfully started and run on a Microsoft Xbox gaming console. This has been accomplished by using the Linux operating system, which already works reliably on the Xbox, as host environment. Windows has been run inside Linux with common PC virtualization software.
Full networking is supported and Windows 2000 can make use of a keyboard and a mouse connected to the Xbox, as well as of any other devices connected through the USB. The performance of Windows 2000 inside Linux on the Xbox is good enough to play MPEG-4 movies at fullscreen. Common Windows applications like Microsoft Office work without any problems.
Although running Windows 2000 might be an interesting application for the Xbox, the Xbox Linux Project continues working on Linux-based solutions. Linux is not only more versatile and more flexible - Linux as well as many important Linux applications, such as OpenOffice, audio and video players, are available free of charge and can be downloaded from the internet.
A video showing Windows 2000 running inside Linux on an Xbox is available at here