60GB Standard Xbox 360 Coming?

Gordon Kelly from Trusted Reviews is claiming that he has rock solid information that Microsoft will be upgrading the hard drive in the Xbox 360 to 60GB in the near future.

Citing sources within Microsoft itself as rock solid, Kelly has said that they will be replacing the current standard 20GB hard drive with a 60GB version sometime before the end of the 2nd quarter, although a specific date has not been formally nailed down.

Kelly also says that Microsoft "are toying" with the idea of a brand new Xbox 360 SKU, could this be the one that includes a Blu-Ray drive?

In any event, the hard drive upgrade seems logical, people have been complaining about the lack of space in the 20GB for a long time now, especially if you love to download demos, which are often over 1GB each.

Kelly also picked the Apple iPhone 16GB upgrade correctly, so he does have some credibility.