Last week, Microsoft was looking to accommodate those who didn't have at least 128 MB free of storage on their 360s for the upcoming New Xbox Experience.

Starting today, Microsoft offers a solution through the Xbox 360 Memory Upgrade Program. A "Big Brother" service will scan your 360's serial number and console ID to ensure you don't have 128 MB free that is required for the upgrade. If you qualify, it will then forward you to a page that will give you one of two different offers:

A free 512 MB Memory Card or a refurbished 20 GB Hard Drive for $19.99.

According to NeoGaf, these offers only apply to owners of 360 Arcade or Core consoles only. Microsoft asks you to log on to Xbox Live and for your serial and console ID to make sure the 360 is a legit Arcade or Core unit. Then, they scan your hard drive to make sure you haven't attached a hard drive to it with plenty of space.

Pretty crafty to minimize their losses, but then again, I think Microsoft maximizes their profit margins by charging more than $100 for a 20GB Hard Drive in the first place.

What do you think? Are you feeling like...*ahem*...downloading demos tonight on your 360?