What's that, Chris Cashman, host of Xbox Live's 1 vs 100? Oh yeah, "skill-based prizes" start next week, July 10, specifically. Great! Unfortunately, though, what we heard from Mr. Cashman during tonight's game of 1 vs 100 wasn't all good news.

He continued, saying that while the prizes will start next week "for the mob," the game will be staying in beta. Guess that means this isn't part of the first "season" of prizes? We're not so sure, but we are sure of this -- given the whole fireworks thing going on this weekend, we're probably not going to hear more news on the subject until at least Monday.

Update: Near the end of the episode, Cashman also seemed to mention that "the one" would also be eligible for "skill-based prizes." We're currently following up with Microsoft about getting more concrete information about the prizes, the new sweepstakes announced last night and how long the show plans to stay in beta. We'll be sure to update as soon as we hear back.

Though you might think they'd welcome a break from shoot-'em-ups, members of the military are known to be a rich breeding ground for hardcore gamers. Now, just in time for Independence Day, they have their very own space in which to catch each other in the friendliest of fire: The Military Online Gaming program, a Global Gaming League-powered service that kicks off on the 4th with a Call of Duty: World at War tournament.

Though support will start with the 360, a rep from the group responsible, Pro vs. GI Joe, told Shacknews that our fighting men and women will soon be able to blast one another on PC and PS3 too.

Just when we were starting to get all excited about Silverlight-powered ads for Mountain Dew and Axe Body Spray littering the Xbox Dashboard, Xbox Live spokesman Major Nelson rains on our parade, telling readers that they don't need to sweat.

The Major recently posted, "One of our core principles is to enhance, not interfere with the gaming experience, and we work directly with our partners to only deliver experiences that are relevant to the LIVE community. Silverlight will help make those ads a more organic part of the dashboard, like we've done with some of the NXE slots in the past."

Aww, come on. Maybe just one "Get Totally Crunchatized With Doritos" ad? Something?

Just a quick reminder from your friends at Joystiq, if you wanted to try your hand at the totally cool visual game programming of Kodu Game Lab, the title is now available on the Xbox Live Marketplace (though you'll have to navigate over to the Community Games section to find it).

For just 400 MS points ($5) you can build your very own game from the ground up, all the while being reminded that no matter how hard you work at it, Sparrow still owns you. If you manage to make anything cool (though admittedly never as cool as what Sparrow makes) let us know in the comments below.

Microsoft announced at their E3 keynote last month that Last.fm would be coming to Xbox Live. We're working on an interview with key players at both Last.fm and Microsoft to bring you more details about the collaboration soon. However, we can share one tidbit: today we spoke with Christina DeRosa, a general manager for XBL, and she let us know who the service will be available to.

"Silver users will be able access what we're considering a trial period of three hours a month, which comes with video advertising. Gold users will have unlimited ad-supported access, so they can use it 24 hours a day. There will also be a premium offering on a subscription basis from Last.fm, that will be commercial free and will also have more sophisticated personalization features, like Loved Tracks."

Last.fm's subscription prices are currently $3.00 US (€3 EU or £3 GBP) per month, so you'll have to shell out an additional $36 a year if you want to avoid the ads and have full access to their service. You'll also need a Last.fm account, in case you haven't set one up already. Luckily, that part is free.

We're all still reeling from the passing of the King of Pop, but fortunately, Microsoft's got a nice (albeit brief) memorial for Michael Jackson up on Xbox Live. This weekend only, the Video Marketplace is giving away the full, ten-minute version of MJ's classic "Thriller" music video for your viewing pleasure. Yep, the greatest music video of all time is free to download until the end of the day today.

It's a nice gesture -- but why not just make the video permanently free? We're not sure these wounds will heal in such a short period of time.

Update: Looks like they've already take the deal down. If you don't feel like paying two dollars to watch a music video (and you shouldn't), you can just watch it on YouTube for free.

[Xbox Live Marketplace link - US only (and no longer free)]

Select individuals have been seen sporting Halo-themed Avatar clothing recently, with fine young gentleman Randy No Arms being the latest spotted. It makes sense, considering the guy works for Microsoft, but are these new duds a part of the Avatar rewards beta, or is this the Avatar marketplace at work? Regardless, we're totally jealous he's sporting a slew of Halo-branded clothes, including a hat emblazoned with the UNSC symbol, a shirt with a pair of crossed energy swords, and a nice pair of khaki shorts with the Spartan helmet on the left leg.

Be sure to hit up our gallery below for some shots of the Avatar marketplace from E3, complete with Gears of War 2 and Halo storefronts.

eBay is running another one of its daily deals, this time offering 12+1 months of Xbox Live Gold membership for the very reasonable price of $27.99. Compare that to the full price of $49.99, and we don't have to tell you how appealing this deal is. So, if you're going to take the plunge, act now. The deal ends Jun 28, at 8AM PDT.

[Thanks, Bikram!]

Developer Binary Tweed has admitted sales of its first Xbox Live Community title Clover have not met expectations. Speaking with Digital Spy, Binary Tweed community managing director Daniel Jones said his team "definitely won't recoup costs" from Microsoft's indie games service alone.

Despite strong critical reception for the title, Jones says the Xbox Live Community Games market -- being re-branded 'Indie Games' in July -- is "prohibitively small to be financially viable." According to Jones, Binary Tweed may only use the Community Games market as an "an arena for proving concepts" in the future.

While Clover has failed to capture much attention from gamers, Jones says having a salable product to showcase to publishers (rather than a demo) has helped open doors for the team's future. "Although I can't talk about specifics at the moment, Clover's critical acclaim has opened doors to Binary Tweed." Jones recommends Clover fans keep an eye on the developer's official site for news in the coming weeks. We recommend you stop playing with that XBLCG Fart app and check out Clover.

Over the past few months, we've come to rely on Saints Row 2's bizarre, Gary Busey-centric advertising campaign as a source of humor and, more importantly, spiritual renewal.

As a final farewell, Busey is promoting the free "UnKut" DLC from the game in a new video. Gary has used his laser-like vision to peer into your soul ... and his reaction to what he found there? Well, we don't think you're going to like it, let's just leave it at that.

Oh well, the DLC is free, just how much persuasion do you need?

Dearest Lorraine,

Microsoft's Major Nelson has brought us another annual status report on enemy movements throughout Xbox Live, and it's not pretty. Conflict has surrounded us, as the enemy, Call of Duty: World at War, has spread like wildfire, becoming the most-played game last week. We tried to flank it with our platoons of Halo 3 and Gears of War 2, but, alas, the enemy had reinforcements in Call of Duty 4. Hope has diminished, and one only needs walk by the injured tent to feel the full force of the enemy's cruelty.

Lorraine, I know not if I will return home. I have managed to live longer than most, but, I feel there's that one bullet out there with my name on it, relentlessly pursuing its new home. Please, take care of my Gamertag when I am gone (I think my Gold subscription ends next month, so look into that), and be sure to earn as many Achievements for me as you can. I suggest you start with Avatar: The Last Airbender.

Yours Truly,
Gus

In what will assuredly be the longest headline for any Xbox Live Deal of the Week post we'll ever run, Microsoft's offering a $5 reduction in price (from 1200 to 800) on Capcom's Super Street Fighter II Turbo HD Remix this week.

That's right, folks -- you're reading this correctly. We're on the second week straight that the Xbox Live Deal of the Week was something worthwhile and not, say, DLC from a three year old game or, erm, DLC from a two year old game. We're not quite sure that the big M and Xbox Live are giving Steam a run for its money with deals quite yet, but we are plopping down our virtual bucks that much more frequently on the service as of late. Here's hoping that we'll keep seeing tasty deals like this rather than some of the ... ahem ... less than savory items we've seen in the past.

Good news, puzzle poppers, an Xbox 360 listing for a new Bust-a-Move title has been spotted on the ESRB database by Siliconera. The new entry in the bubble-popping puzzle series is entitled Bust-a-Move Live! and ... we don't know much else about it. Given that it's on Xbox (probably Xbox Live Arcade), we would certainly hope it contains Xbox Live play. Siliconera notes that the WiiWare release, Bust-a-Move Plus, has downloadable puzzles, so it's possible we'll see them in the Xbox release as well.

Even without downloadable puzzles, Bust-a-Move is one of the better puzzle series out there, and we're glad to see it heading to Xbox 360.

If you're coming dangerously close to renewal time for your Xbox Live Gold subscription, then you may want to keep an eye on eBay. The online auction site provided a sneak peek at tomorrow's deal earlier today, and it's set to offer the subscription card as its daily deal tomorrow.

The exact sale price has not been revealed, though. Hopefully it'll be something a bit more substantial than a few bucks off, and, if that's the case, we'll be sure to let you know.

In an act that can only be defined as 'terror gifting,' Bethesda recently dropped a handful of new, extra creepy Fallout 3: Point Lookout screenshots for your approval. Between the trailer (after the break), the few screens we got before and the handful of screens below, the creators of the "Capital Wasteland" have remained fairly tight-lipped about even the existence of the DLC from the get go.

Of the little we know from Bethesda about the game -- the swamp setting and promise of new weapons/enemies -- it looks as though the company is set to take even more of our money in the coming months. And considering this is the same developer that once created horse armor, we're going to say things have come a pretty long way.

[Via Evil Avatar]