The Content License Transfer Tool (aka DRM Tool) is now available for use. This tool will allow you to consolidate licenses to a single console. What exactly does this mean? Well, a lot of sites reporting on this don’t seem to have a full understanding of what this is and exactly how it works. Even the official FAQ doesn’t make everything entirely clear, so I’ll do my best to what this is and why we have it. Hit the jump for the best explanation I can come up with.

Every time you download a piece of content onto your Xbox 360, that license for that content is tied to two things: your Gamertag and the console you originally downloaded the content to. The console license is significant because it allows your content to be used by other Gamertags on that console AND by you when you’re not signed into Xbox LIVE.

If your console changes (i.e. You swapped your console at your retailer, you upgraded to an Elite, etc.), you will need to be signed into Xbox LIVE or your content will either not work (DLC for games) or in the case of XBLA games, will revert to Trial mode. For you and any other users of your new console, the content and XBLA games will only work if YOU are signed into Xbox LIVE. Confused yet? Good!

Anyway, here’s where the new tool comes in. The tool will allow you to move all licenses from any consoles you have made purchases on to your new console. Doing this will let you use your content and games offline and will let other users use that content, just like it should be.

Now, this tool is not for use if you have had your console repaired by Microsoft. The repair centers should be migrating your content for you before you get your 360 back. If you have your console repaired and these licenses weren’t migrated, you will probably want to contact Microsoft Support as opposed to using this tool. The reason for this is the tool is only usable once in a 12-month period. This is to prevent people from moving their content willy-nilly. Personally, I feel 12 months is a little overkill. Three to six months would be more reasonable, but I digress.

That’s pretty much the rundown of the new tool and why it even exists. Head over to Major Nelson’s blog for a walkthrough video of the new tool. If anything about the tool or the 360′s DRM doesn’t make sense, feel free to post a comment and ask a question. I’d be happy to answer any inquiries as I’ve done quite a bit of research on this topic.

Link: Content License Transfer Tool [Via Major Nelson]

Major Nelson has just posted his weekly Xbox LIVE stats for last week and for the third week in a row Call of Duty 4 gets to waive the foam finger.

Now one must wonder if Halo 3 will ever make a triumphant return to reclaim it’s throne.

Link: LIVE Activity for week of 2/11

I guess we can no more call it a fluke as Call of Duty 4 has held the top spot on Xbox LIVE for the second week in a row, according to Major Nelson’s weekly Xbox LIVE stats. Once again, Halo 3 has to be satisfied with a silver medal as CoD4 continues to dominate Xbox LIVE.

I must say, many of my friends have been playing CoD4 a lot recently, choosing to play it over Halo 3. If Infinity Ward can provide the long-time support to CoD4 that Bungie has shown to the Halo series, CoD4 could be here for a long, long time.

Link: LIVE Activity for week of 2/4

On a more personal note, if you see me playing either game, just know that I’m an easy kill. I suck at FPSes if I don’t have my trusty keyboard and mouse.

Link: LIVE Activity for week of 1/28 [Via Xbox 360 Fanboy]

After being defeated for the first time since it’s release, Halo 3 has bounced back to reclaim the #1 spot on Xbox LIVE. Major Nelson has posted the Xbox LIVE stats for last week, and it appears that Master Chief wasn’t about to stay at the #2 spot for long. It will be interesting to see if Call of Duty 4 simply had a lucky week or if it will fight back to regain the crown. What say you?

Link: LIVE Activity for week of 1/21

I’ve been waiting for a good demo for the last couple of weeks, so I’m looking forward to checking this out.

LINK: Demo: The Club (North America)

This is pretty unprecidented, especially considering many people* think of the 360 as “the Halo 3 box.” I guess there is room for two games in this box.

*I am not included in this group of people. Taking a look at the list of games I own should prove that claim.

Link: LIVE Activity for week of 1/14

My inbox has a lot of ‘Save Goldeneye’ emails. I will be sure topass them on to the right people.

I guess we can’t ask for much more than that.

Link: Twitter / Major Nelson (Larry) [Via Digg]

If there is a bright to all of these issues, it’s that I’m blaming all of the times I lose on Halo 3 to Live issues…

Link: Show #263 The One After CES

Link: Buy or Gift Points [Via Major Nelson]