After applying the update which just went live for the 360 version, my game now locks up every time I activate VATS, forcing me to reset my console. Tried with multiple weapons, no target/neutral target/enemy target, first- and third-person perspectives... basically, RB can now be renamed "the crash button" on my end. Clearing my system cache from the 360 dashboard (thus removing the update) solves the issue which to me is a pretty strong indicator that something in the update is pretty seriously broken.

Anyone else getting this? If it matters, I'm in Nipton on my way to Novac.

I was about to post a sarcastic and [censored] post about this same thing actually. My save game I loaded from was in Nipton also, strange enough.

It's too bad they can't open source this game since they haven't bothered with hiring enough people to actually test it.

After downloading update, I tried to reproduce this but couldn't get a crash. Tried it in the Strip first then fast traveled to Nipton and I could VATS a few spiders fine. Used the Cowboy Repeater at level 13 on a Slim.

Exact same thing happened to me!! Fallout was working fine (except for the quicksand glich and some of the animals overlaying into one another) UNTIL i recieved an update yesterday. Now everytime i hit the RB to enter VATS, it freezes immediately. I have to reset my console but it does it everytime I hit RB!! Coincidentally, I am in Nipton on my way to Novac aswell!!

I had a similar issue, but resolved it by reloading my file, switching guns, hip firing, switching again then trying vats. It cleaned it right up.my issue WAS My xbox would freeze, then my character randomly die if I waited long enough (usually 10 mins). now everything works great.

I was having this problem in Nipton until the user Jerfer told me the following:

• Clear the system cache (to delete the update -- directions below).
  
• Reload the game (say NO when it asks if you want to download the patch) and go somewhere else (I went to Primm) and then save again.
  
• Restart the game; it will ask to download the patch. Say YES this time.
  
• Go back to Nipton and hopefully it will work.

I'm now in Nipton fighting. It's working so far! Hopefully I won't be back anytime soon to post more frustrated notes of anger.

To clear the XBox 360 System Cache: On the dashboard, go to "My XBox" and scroll to the right until you find "System Preferences". Choose "Memory" and then press Y while the HD is selected.. There should be an option to "Clear System Cache".