Machinima

I read this interesting article about Machinima: Filmmaking's Destiny this morning. Machinima is a fancy word for cinema made with machines, especially that which is made entirely within software. One of the emerging methods of machinima is video games, specifically first person shooters, like Doom or Halo. Red vs. Blue is an online series that uses Halo to make animated films. This link is to a quicktime movie, Wild Wild Web program, "a primer . . . on how the internet is different from the real world."

I'm wondering how they do this. One way would be to put a DV camcorder in between the X-Box and TV and record, then import the DV into a video editing application. I wonder if there is a way to get a digital out of the X-Box.