Seems like a waste of a disk but if you need to do it. This is how it is done xbox You can update your Xbox 360 console software by downloading the update to your computer from Xbox.com, burning the update to a CD or DVD, and then installing the update on your console. Here’s how:

  1. On your computer, download the update file.
  2. Click Save to save the console update .zip file on your computer.
  3. Unzip the file. If you are using Windows XP, Windows Vista, or Windows 7, double-click the .zip file to unzip it.
  4. If you are using Windows XP, Windows Vista, or Windows 7, double-click the .zip file to unzip it.
  5. If you are using an earlier version of Windows, you need to use a special software program to unzip the file (for example, WinZip).
  6. Insert a blank, writeable CD or DVD into your computer.
  7. Copy the contents of the .zip file to the root directory on your CD or DVD, and choose to write (burn) the files to the disc.
  8. Once the files have been burned to disc, remove that disc from your computer and insert it into the disc drive on your Xbox 360 console.
  9. Restart the console.
  10. When the console restarts, the installation program starts automatically. Select Yes when you are prompted to update the new console software.