Hi, i had two of them, they are working great, but and there is the big problem, you
cant use two adaptaters at the same time because they set the controller to player 1, so if you use two adaptaters there is conflict and only the first plugged controller will work.
This is a know problem with those adaptaters.
Btw, there is others cheap ones that i bought who are working really nicely without any lag, they are the blazepro brand and i found mines here:
http://www.renchi.com/renchi/Xbox_360_Accessories_PS2_to_Xbox360_converter.htmand its works great (and both at the same time).
For info my new astro city panel is made with two hacked psx pad so with these adaptaters, i can play with my 360, my dreamcast with others psx->DC adaptaters and mame on pc too with the usb adapters too, i like adaptaters :p)
Well and for sure you need to have wired controller plugin it to make it work