I finally got my update today. Very simple and works well. Is it better than PS3's? IMO, NO WAY. Xbox is simple and dumbed down with much less options. It just feels so restricted. No downloading anything, no Youtube, can't open extra windows, and no streaming adult videos. But it does work smooth (so far). You can only have one window open, recent visits, and favorites. I like and I will use it if I had to. This is only playing it for about an hour. So I don't know what else it can or cannot do.
Of course I have to mention about PS3's browser. While the PS3 has some hiccups here and there it is still much closer to a normal internet. I can watch adult videos and youtube all day. I also understand that you can also use a mouse/keyboard? I will assume that Xbox IE you can't use a mouse. There was never a mouse support on the Xbox as I recall.
Your mileage may vary. I am happy to have it!