The new Metro-style dashboard design will be available to download worldwide on December 6, reports Kotaku.
The update will offer a significant overhaul to the console's user interface, adopting the Metro panel seen on Windows Phone and Windows 8 operating systems.
It will also add a number of entertainment apps, including BBC programmes, 4oD, Channel 5 and LOVEFiLM for UK users and Comcast, Verizon, Syfy, TMZ and HBO GO for the US.
Channels can be navigated using either a controller, Kinect or voice control, which will be integrated into its brand new Bing search function.
At gamescom 2011, Microsoft revealed that the new dashboard update will also add Xbox Live cloud storage, which will be compatible with all games.
Watch a preview video for the Xbox 360 dashboard's new entertainment services below: