Got Windows 7, an old Xbox 360 HDD and Transfer Cable? If so, you now have an external HDD for your PC or Xbox 360! Using the Disk Management utility under Computer Management, you can format the old HDD as a simple volume. Simply connect the transfer cable to the HDD and plug into an available USB slot. Next Open Computer Management. Now you will be given format choices; FAT32 or NTFS. If you want to be able to use the HDD directly connected to the Xbox 360 as an additional storage drive, then FAT32 is the choice you will make as the 360 does not support NTFS. You will need to be mindful that Fat32 only supports up to 32GB of storage so if you are formatting a drive larger than the 20GB HDD, you will need to create about 3 logical partitions. If you are only interested in using it as an external drive for your PC, then NTFS is probably the way to go. If you have your 360 properly networked you can stream music files, etc. via the network from this drive at any rate.