Ongoing Xbox 2 Hard Drive Rumors

TeamXbox reported earlier today that there will be no hard drive in the next generation of Xbox consoles, based on an interview with M-Systems CEO Dov Moran. M-Systems has struck a deal with Microsoft to provide customized memory units using flash disk technology for future Xboxes. While this may be true, a spokesperson for Microsoft, contacted by GameSpot, responded by saying that Moran's claims about the hardware specifications of future Xbox products are pure speculation at this stage. It's interesting how quickly rumor becomes fact and turns back into rumor again when it comes to game consoles.