Website Engadget is reporting that they have recieved the first picture and details on the first update to the Xbox 360 console, nicknamed Codename Zephyr.
Zephyr, which has not been confirmed by Microsoft, let alone given a release date will apparently feature a 65nm processor, HDMI port, and a new 120 GB drive.
As usual, Microsoft issued its famous lines in response to the pictures: "We have seen all types of claimed leaked photos like this show up online and as a standard policy we don't comment on speculative items."
Full details are available at:
http://www.engadget.com/2007/01/05/the-second-xbox-360-revealed-codename-zephyr/