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Strange to see Double Agent and Far Cry on there, you'd think Ubi would want only one version of each playable on the 360. :S
Also the campaign for Psychonauts seems to have got it's way.
I reckon what Microsoft is doing is automating the execution of the Xbox games to see what x86 (Pentium compatible) instructions the processor is executing as the games run. Then the Xbox emulator only implements a subset of the x86 instructions. By the time of the Pentium 3 (which is effectively what is in the Xbox) the x86 architecture had something like 450-500 instructions. The entire POWER architecture (which is what the 360 is based on) has like 235 instructions or something. The Xenon processor in the 360 probably doesn't even have them all implemented.
So there will likely be a whole lot of x86 instructions which take a whole bunch of Xenon instructions to get the same effect. Hence games which used fewer numbers of instructions will be easier to make compatible. The Xbox emulator probably emulates half the x86 instructions and can play half the Xbox games. Beyond that you'll get diminishing returns, where every extra dozen instructions gets you another couple of games. It'll be a long and tedious process, but the upside is that most Xbox games will be compatible in time.
Strange to see Double Agent and Far Cry on there, you'd think Ubi would want only one version of each playable on the 360. :S
Also the campaign for Psychonauts seems to have got it's way.