The Xbox 360 has been selling very well love the last few months and for a time it was selling better than both the Wii and the PS3. The game console is set to get new storage according to reports.

Joystiq reports that USB storage may be introduced to the Xbox 360 consoles as a cost reduction method. The idea is that the consoles would store to USB devices rather than internal hard drives.

That would actually be a great thing. We could plug in any size external HDD we wanted to store download games and other stuff on rather than running out of space on an internal HDD that you can't upgrade.