"Once you take the system update on April 6th, you’ll be able to connect your USB flash drives to your console and head over to the memory section to configure your new storage device. You will then be able to configure how much storage to use on the device, up to 16 GB. The remaining space on the flash drive will be accessible by your PC or Mac."He also goes on to say that USB hard drives will probably be supported, but will have the same 16GB limitation. They would suffer from slower performance compared to flash based media. You can have 2 devices connected to the console at a time, enabling up to 32GB of simultaneous storage.
We're cautiously optimistic about this news. It flies in the face of Microsoft's previous attempt at disallowing unofficial storage devices (see our earlier article). The 16GB limitation is understandable - they don't want to provide competition to their own 120GB (and upcoming 250GB) standalone hard drives.
They obviously had to listen to the growing discontent of Xbox users being forced to purchase Microsoft's own over-priced memory units. So thumbs up to Microsoft for doing something good for consumers.