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The Xbox 360 dashboard update on November 17 disallowed third-party memory devices, despite the fact that first party offerings are quite limiting in both size (only 512mb) and price ($30).

Datal, creator of said third-party memory devices, has decided to sue Microsoft for “unlawfully reducing competition in the memory card market.”  Hit the jump for the official Datel press report from their lawyers.

Straight from Datel’s attorney, Marty Glick:

Microsoft has taken steps to render inoperable the competing Datel memory card for no visible purpose other than to have that market entirely to themselves. They accomplished their recent update by making a system change that will not recognize or allow operation of a memory card with greater capacity than their own. We believe that with the power Microsoft enjoys in the market for Xbox accessories this conduct is unlawful.

Datel says this lawsuit is intended to restore competition, which would be beneficial for consumers.  It’s true, especially when your product is eight times better than the “official” stuff.

Source: Joystiq

  1. Well they could argue that sizes larger interferes with HD sales, but I have no clue if thats legit enough to ban mem cards over 512mb or not…

  2. “Damn the Man! Save the Empire!”

  3. Looks like I’ll have to keep on fighting the good fight.

  4. I swear, Microsoft has to be made up of republicans

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