Having hooked up his old 512MB Memory Unit and his old hard drive, he noticed that another storage option was listed on his Xbox. As you can see in the image above, there are storage options for the hard drive, the memory unit, and a third option titled MU. The third option lists 214MB of usable space, which is in line with what we reported over the weekend.
As if that wasn't enough, YouTube user BRB100779 has posted a video showing off the same memory screen and has gone to exhaustive links to prove that the image on the screen is legitimate. Find the video after the break.
We've contacted Microsoft for comment and will update this post when we receive more information.
[Thanks, Stuart J]