Some questions were brought up in some "other" thread and I thought I'd answer it. Yes you can use your own CDs to make your own soundtracks. That means you can rip any song from any CD. Not just tracks from the games. You then have the option of using your custom soundtrack or the default soundtrack from the game.
This is what Jeff Henshaw said in State of the Xbox vol. 4.
A couple weeks ago I mentioned that many Xbox games will use custom soundtracks that players can create and then listen to in the games they play. The Xbox Dashboard helps make this possible by giving gamers a place to create these soundtracks from their own CDs. You'll be able to bring the tracks that you want to hear to Xbox, organize them in a soundtrack, and then tell games which soundtrack you want to hear while you play.
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