Irving explains how the update has "addressed the number one most requested feature" by switching on Party Chat by default.
Cross-game chat has also been improved as users are now identified depending on the activities they're partaking in. There'll be differentiation between people users are chatting with and competing against.
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Join the party... easily
Xbox One owners will also have distinct options for bringing gamers into a party. They can invite fellow console owners into the party to chat, into the game to play or both. There's also "a lot of refinement to the UI to enable easier access," Irving said.
Microsoft is also making it easier for gamers to access their online friends, meaning they can see who's online within three button clicks or one voice command. Friends can also now be marked as favourites.
You can get a proper look at the new features in the video below: