
There have been rumors floating around the MS will have to fit all new Arcade units with some internal memory now that the NXE requires a download to be installed. This rumor has been confirmed as true and this process has already started:
“We are constantly updating the console’s more than 1700 internal components. We can confirm that we are moving to internal memory for the Xbox 360 Arcade. The physical internal memory is the same size as the previous external memory units – 256MB.”
This is a nice move on MS’s part that you can download shit right out of the box. But, you will need to get at least a 20GB HDD to download anything substantial such as demos, game updates, map packs, etc. Furthermore, this is the first time MS has offered any significant internal memory on a console, if one can call 1/4 of a GB significant that is.












