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connect your xbox to internet.
click on your account and select"join xbox live"
when you register you will be started off with a free trial
go to gamestore and buy an xbox live gold membership monthley card or buy a gold member ship online. once your trial runs down you will live off a silver account which doesnt let you join partys, play online with friends,etc.
Form your Xbox 360 you need to be connected to the Internet by a straight LAN line or wirelessly. You can test you connection by going to the setting screen on your Xbox 360.
Once connected to the Internet for your Xbox 360 go to your main account screen and find the tab that says "Join Xbox LIVE" click on that link then follow the simple instructions that the Xbox LIVE will provide. At this point you should have a name in mind for your gamer tag.
Xbox 360 LIVE has several different options available for memberships. They are a monthly, 3-month and 12-month membership accounts. I would recommend a simple one month account if you just wanted to check out the features offered on XBOX 360 LIVE. If your an avid gamer and love to play games online with friends, the 12-month Gold membership is the way to go.
Once you've completed the process of joining Xbox 360 LIVE, they will send you a confirmation email confirming your membership. Now you can log on to Xbox 360 LIVE and start doing this like customizing your avatar and playing online multi-player games.
Is your Internet connection able to Reach to the Xbox 360?? If it is then you probably have to try asking a friend to join your game to see if it works. If it doesn't work then try moving the Xbox 360 closer to your Wireless Connection. O Btw... People dont always join your games.
Xbox live is down they are working on the issue but atm you cant get into games very easily you have to wait a really long time and most of the time you get booted out. They are having issues with everything. This has been going on for about 6 days now since friday last week. If you want to check the status of xbox go to www.xboxlive.com and search for status then click on support the status of xboxlive will be on the right hand side in the corner or the screen.