update for the 360 ever? I have no luck even playing Microsoft's own WMA lossless. Any possibility they will support WMA lossless or maybe FLAC? I know some people can play WMA lossless, but from what I have read its actually transcoded in order to play.

doesn't seem high on the list. My understanding is also that wma lossless is transcoded for playback from the machine. Though the wma lossless would be the only likely candidate for future addition. I would be totally down for a FLAC update though.