Here is the low down, I am having a buddy over today and playing split screen plays with your eyes a bit. My solution was to hook up another screen to my Xbox so we could both have our own screen. I have my Xbox hooked up to a TV by an HDMI cable and was hoping to hook up my monitor to the Xbox as well, by HDMI of course. Is there any way to do this? Do I need a special connector / splitter of some sort? Anyway, all input will help.
Both ps3 and xbox are weak (ps3 is more powerful, though). Xbox runs at med textures at 720p, if you try to do that but on two monitors it will be way too much strain on the xbox so it would cause horrible lag.
So that is why microsoft never gave you the option to do so, if you had the power to do it the xbox would probably be 1080p or something.
It's not possible because the xbox doesn't have multiple HDMI ports, not because it wouldn't be able to handle it.
Of course the Xbox 360 would not be able to handle it, Mr. Premium.
Duplicating the video signal may be no problem, but that's not what the OP was asking, and it would take a separate device to do so, anyway.
The OP was asking if it would be possible for the Xbox 360 to render multiple sessions of a game for multiplayer. Considering that most games takes most/all of the processing and graphical prowess of the system simply to render a single session, I'd say that this is impossible without severe lag.
In other words, if you want multiplayer on multiple monitors, then you've got to have multiple Xbox 360's, just like a LAN. Plain and simple.
Oh, and by the way, this goes for pretty much any game console.