Wow - talk about fortunate timing. Whilst Microsoft's big gaming rivals over at Sony accidentally let slip millions of its users' credit card details - Xbox LIVE are planning to extend the PayPal payment option to international markets.

Currently US Xbox fans can use PayPal to purchase points, DLC, digital media and the like - and a leaked Xbox LIVE update slide has stated that the opportunity will be extended to non-Americans as part of Microsoft's annual system update.

The update will be coming in six instalments between 19 May and 30 May and will also bring the Avatar Kinect feature that was demoed at CES in January.

Plus, support for Xbox Game Disc Format (XGD3) will be added, meaning publishers can squeeze an extra 15 per cent or so of data onto their game discs.

Microsoft 1 Sony 0.