Looking at some news on CNET, looks like Microsoft has an update coming for Xbox 360 to allow any USB storage device to be used. This is huge news for the console, which fans have dreamed about for years.

No more, will you have to pay $100+ for a handful of gigabytes because Microsoft has forced us to buy only their branded product. If this news is true, I would be able to take my 5 year old 250 GB USB drive that’s just collecting dust, and use it to store all my Rock Band songs, plus the growing collection of Xbox Live Arcade games I pick up.

Check out the CNET article. http://news.cnet.com/8301-27076_3-20000712-248.html?part=rss&subj=news&tag=2547-1_3-0-20