I don't know if it's me or my network, but I own one of these and it works just fine and overall a great item for me. The only issue is it doesn't connect to XBL on bootup. I turned the setting on of course and when I start a game it connects to XBL by itself or if I choose to "Connect to XBOX Live" it connects as well.
It just doesn't sign in automatically like it's supposed to. Is it because I use a wireless network adapter (MS told me this, but...most CS people are morons) or...is there more to it than that?