By: Hanif Bhatti on April 8th, 2010

Image Source: UK.XBOX360

Microsoft released the much-talked about Xbox 360 firmware update yesterday allowing players to use USB storage media for gamer tags, game installs, backups and more.

It’s surprisingly effortless to format a USB drive (Portable/External Hard Drive or Flash Drive) for the Xbox 360, once you know how to do so anyway!
There’s a catch though (of course). If you back-up saves from a USB drive on to your PC or some other location, you can only put those saves back on to the original USB drive. If you lose that USB drive, the saves you backed up are useless – for now. This has to do with the way the Xbox 360 formats USB drives.

However, we’ve been hearing good things about the firmware update. Last night Ed tried using his 500GB Toshiba hard drive and the Xbox recognized it instantly with a fast transfer rate.

Have you tried it yet?

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