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Members of the Xbox Dashboard Preview Program are being advised to decline an update that went live yesterday, since it might cause their console to perform a full factory reset.

What that means is that any games that you've downloaded will be removed from the console. You'll be able to re-download them of course, and your saved games will have been synced to the cloud so you won't lose anything, but who needs the hassle, right?

The official word, posted on the Xbox.com forums, goes like this:-

We're hearing reports some users have received a prompt for an update, and upon taking the update, their consoles have been factory reset. We are investigating this issue right now, and hope to have an update for you soon.

In the meantime, if you receive a prompt to update today, please DECLINE the update and go offline until we can clear the issue.

An update since then states that they've found the problem, but there will be a delay until a new software update is provided that doesn't cause the issue.

Obviously, this is one of the reasons that the Xbox Preview Program exists, to ensure that these problems don't make it out to every Xbox One user in the world.

[source forums.xbox.com]