Authenticating still has a security risk. If they are not going to update SSL/TLS, then they will need to use insecure methods of authenticating with their servers. Plus, if someone can get into your Xbox, it could make the entire LAN that the Xbox is a part of vulnerable. Once you get into one device on a network, it’s far more likely that other devices on the network will inherently trust you.

As long as they are able to connect to the internet, they need to keep releasing security patches.