Xbox 360 Live Gamers that have been experiencing problems and issues over the last week and receiving the dreaded 801540B7 profile error message, thats stops you playing your purchased games. Will be pleased to know that Microsoft has now acknowledged the error and says it is working quickly to create a fix for the problems being experienced.

Gaming website Joystiq contacted Microsoft regards the problems being experienced by gamers and received the following reply:

"We have recently identified an Xbox Live profile data error that results in Error Code ’801540B7′ for a small number of Xbox Live members. The error instructs users to attempt to re-download their Xbox Live profile and directs them to customer service support for further assistance,” – "We apologize for the inconvenience this has caused to our loyal Xbox Live members and are working to resolve the issue as soon as possible.”

As more information becomes available or a fix is released we will keep you updated.

Source: Joystiq