Great find man,but myself i would go with j-tag with an ability to save on any usb device any time.ms probably realise they loosing out on something
This pic suggests that it'll use devices up to 16 GB, or up to 16 GB of any device. That sucks. You can only put about two games one it.
It most likely will allow for the running of "backups" directly off the hard-drive, along with other stuff such as DLC and XBLA. All Microsoft hardware originally had to have a security chip to run with the xbox. When they make it so anyone can use any portable hard-drive this will allow hopefully with a couple steps the booting of unsigned Microsoft programming.