Rumor city: Microsoft has 1TB Hard Drive in the works?

Here's an exerpt from Team Xbox, who claim Microsoft may have a 1 TB hard drive planned for the Xbox 360:

The rumor is out there and every where. Several publications, analysts and forum users claim Microsoft plans to release a 1 terabyte (1,000 GB) hard disk drive for the Xbox 360. The reason? The new Games on Demand service, which will offer both Xbox Originals and classic Xbox 360 titles as digital downloads. Wedbush Morgan analyst Michael Pachter is one the analysts who think Microsoft needs such big hard drive on the Xbox 360 so the Games on Demand service is not held back by current storage options.

"I don't see the timing between new release and digital download being a function of anything other than hard drive sizes," offered Pachter, speaking exclusively to GamesIndustry.biz. "I think as soon as we have large hard drives - think the rumoured Project Natal 'new' Xbox 360 with a terabyte of storage in 2010 - we'll have day-and-date downloads."

So what do you think? Would you buy one?