Re: what game are you playing
You can have up-to 16 in a multiplayer game (GRAW2), however, you'll very often find that a lot drop out due to insufficient upload speed (the host).
Very stange, this - I found that my Tiscali connection could host up-to 10 (384kbit/s upload) and virgin can only host 3-5 (490kbit/s upload) - it would almost suggest throttling activity on Xbox Live.
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