Update: Major Nelson has said this is not the case. Here’s his response in full:
“Let me straighten things out: We will not be expanding the friends list as a part of the next Xbox Live Update.”
Never said it wasn’t coming, just not with the fall update November 4. We’ll keep pressing MS for an official comment.
Original: According to a post over on Xbox Germany’s Facebook page, the friend limit on Xbox Live has been upgraded, allowing folks to have more than 100 folks on their friend’s list.
The new limit is set at 1,000 so lucky you if you have that many.
Aaron Greenberg said a while back Microsoft was looking into allowing folks to have more friends, so it looks like that’s now the case.
Likely this new feature will be implemented with the new dashboard update on November 4, but since we’re not 100 percent positive on that, we’ll mail Microsoft. Especially since we don’t speak German and the option may already be available.