HD DVD movie data is passed though the 360. I don't see why game data couldn't do the same thing. Since it's USB2, you can theoretically hit a 480Mb stream of data.

With a system software upgrade, I'm guessing sure ... why not?

The only stopping point would be the small HDD (20gbs). If you'd need a huge chunk of that allocated for load buffering.




But, MS said they wouldn't make an HD-DVD game.