Players can fall into three categories of reputation score: "Green = Good Player," "Yellow = Needs Work," and "Red = Avoid Me." When you look at someone's Gamercard, you'll be able to see their reputation at a quick glance. The longer you play online without being reported as "abusive" by other players, the better your reputation score will be.
This is decided by a Microsoft algorithm that monitors disruptive behavior. Dunn said the "vast majority" of players never receive any feedback from other players and will maintain their "Good Player" status without issue. Over time, Microsoft will introduce rewards for good behavior on Xbox Live, but there was nothing to share on this front today.
For "Needs Work" players, you'll begin to receive reputation warnings this month. The purpose of these warnings, Dunn said, is to remind players about the effect their behavior has on the community and to encourage them to have "more positive interactions."
Finally, Microsoft is also now beginning to roll out penalties for "Avoid Me" players. If you do not heed warnings and continue to have a "negative impact" on other players and the Xbox Live platform itself, you're going to get in trouble. "Avoid Me" players will have "reduced matchmaking pairings" and can even have their access to Twitch broadcasting revoked.
"Remember, we designed the algorithm so it won’t penalize you for bad reports over a few weeks of play," Dunn said. "The system also adjusts for false reports from people that might intentionally report someone of greater skill or for other griefing purposes."
Microsoft's overarching ambition for its Xbox One reputation system is to "create the best gaming community online" and match players with other gamers that you'll enjoy.