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After the console has been on for a while, obscured noises can be heard over the top of the normal ambient background noise. Microsoft stated that they are actually tweaked and modified public domain sounds from the Apollo days of NASA.
When the original XBox was made, Microsoft lost $125 per unit sold. After 4 years, Microsoft had lost $4 billion.
Contributed by Botahamec
Sega's then president, Isao Okawa, wanted Microsoft to include Dreamcast backward compatibility in the Xbox, but negotiations fell through when Microsoft refused to include online play for Dreamcast games.
Contributed by xianc78
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The Xbox controller was redesigned to appeal to Japanese gamers because Microsoft had trouble selling the Xbox to a Japanese audience. In the end Microsoft came up with the Controller S, an Xbox controller which was more compact and attractive to the Japanese demographic. This design would eventually be adopted in America as well, and a decade later became the standard.
Contributed by Makarov
The original Xbox prototype was built using dismantled Dell laptops.

"In 1998, Berkes and his team ordered a few Dell laptops, took them apart and built the first prototypes of a Windows gaming console.

Ed Fries was leading Microsoft's games publishing business when the four Xbox founders pitched a "Direct X Box" based on the Windows DirectX graphics technology that was developed by Berkes' team."
Contributed by DidYouKnowGaming
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The Xbox was originally proposed as the "Direct X Box", because it utilized Microsoft's DirectX technology. It was later shortened to Xbox.
Contributed by ThisIsGamer