You my friend just quoted IGN speculation. Read it more carefully. They might be right, they might be wrong, but they really suck at researching. There are ALREADY Xboxes shipping with >8GB capacity. They are all just formatted + partitioned so that the 10GB (and even some 20GB) drives have the same partitions as the original 8GB drives, for compatibility or whatever. You can mod it and get access to that extra space.
If you think that is stupid because its more expensive, capacity doesn't always determine cost when it comes to HDs, since it doesn't really cost extra anymore with the lower-capacity drive. Plus there's supply and demand, and availability. Also, the fact that they said that having more HD space is useless shows how stupid they are. If you can have linux, emulators, media players, etc, why WOULDN'T more HD space be good.
I'd also like to note that yes, a PC can do these things, but it usually can't do them for the same price
![Wink ;)](./images/smilies/icon_e_wink.gif)
. Also it can't play Xbox games yet, especially Live! games.