We got our hands on the new Fall 2009 Xbox 360 Dashboard update, which features Facebook, Twitter, Last.fm, and Instant-on 1080p movie streaming from Zune. You can get the full scoop in the video, but in a nutshell, here are our thoughts:

• Facebook: Facebook on Xbox 360 is integrated well into the console. We like that you can see which of your Xbox 360 friends are on Facebook, and which Facebook friends have an Xbox 360 account. The problem is that the Xbox 360’s ridiculous friend limit really stands out here. You have a limit of 100 friends, and if you have a bunch of friends on Facebook that you want to connect with, you will quickly find that you have to pick and choose. You see what I mean in the video. Other than that, being able to view profile data and photo galleries of friends is a nice touch. Updating or commenting sucks if you don’t have a Chatpad.
• Twitter: Twitter, on the other hand, is way too simple for our liking. It shows you the last 50 tweets from people you following, trending topics, and basic profile info. You can also send tweets out from the Xbox 360, but it’s frustrating to do, unless you have a Chatpad handy.
• Last.fm: This works as expected. You sign in, and you get access to all your channels, and you can create new channels on the fly. What sucks? You can’t see your Last.fm friends, which is something I miss. Even worse? The music only plays when you are actually in the Last.fm area. If you leave, the music stops. This means you can’t carry it over to the dashboard, or in-game. So really, what’s the point?
• Zune Instant on 1080p: This was awesome. Definitely blew me away. We streamed a portion of the movie 300. After a bandwidth test, the Xbox 360 confirmed we were good to go for instant 1080p streaming, and it delivered. Fantastic. The best streaming video quality we’ve seen from any service.

There are a few other new details as well, and we give you a detailed look at it all in this video. Sit back and enjoy!