I recently purchased the new 4gb xbox 360 because the drive went out on my other one. I bought the 4gb model over the 250gb because it saved me 100 bucks and with the new flash drive support if I ever needed anymore space a have a couple drives and the new xbox has plenty of usb ports. For some reason tho if you don't have a hard drive you are completely unable to watch films, and check out the bungie favorites for new maps/game variants. I could see why they may have taken out this feature before usb support but I really really hope its not this way when reach comes out. Making and watching movies is a integral part of my halo experience and is one reason why I've come to enjoy it so much. With the retooling of forge mode and the many improvements they have made, not too mention how truly awesome forge world seems I dont know what I'll do if all those features are unavailable because I dont have the 250gb console. I mean I have plenty of space on usb drives, I even plugged in an external drive but to no avail. These features were still unavailable.