Yes, it does need to be flashed before it's really useful. But, if the chip isn't installed properly, you won't be able to flash it. To see if you do have the chip installed properly, hold down select. If it says the chip is disabled, then you should be able to flash the chip with the Toxic OS. If you don't see that screen, then something isn't working! Burning the Toxic OS to a CD should be dummy-proof, so it should load up right from the start.