With the introduction of a new DRM transfer tool Microsoft has finally made that possible. A PC is required to initiate the transfer online, after which you can connect to Xbox Live with a new hard drive in your Xbox (or with a Xbox) and download the licenses.
Movie licenses still can't be transferred, so you'll want to make sure and watch any titles you've rented before swapping hard drives.
You can find more information about the process, including a video demonstrating the process, on Microsoft's website.
Written by: Rich Fiscus @ 27 Jun 2008 10:00