Yeah I was expecting the same to happen to this one, but alas, the latest models of Transcend drives work flawlessly, I actually stopped and read the pop up twice because I couldn't believe my eyes
"The Only Blood Type that matters is .... Red" Zombie Proverb
Been using the xbox formatted flash disk since the update came out (Note to someone who posted that they watched some tv series using this - you've always been able to watch videos from a flash disk and this thread is about the update that allows you to save xbox content to a flash disk)
Anyway, works perfectly, got the warning that it might be a little slow. I'm using an oldish flash disk of mine (4 gigs), and admittedly it takes longer to save games, but don't really mind waiting a little longer for the convenience of being able to easily play different xboxs.