By Neil Doughty
CBBC Newsround Online at X02 in Spain
If you're playing a game and doing badly your mates quite often take a break from the action for a moment to give you some stick.
At the moment that mate is sat next to you, but with Xbox Live they can be in another part of town, another town in the same country, or even far away in another country.
The Live system is Xbox's way of allowing gamers to play online, and it has a special headset communicator that lets you talk to other people playing the game - wherever they are.