What is the difference between the xbox arcade, and the regular xbox 4gb model?

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New member
I am planning on getting one for my boyfriend for christmas, and I have a friends parent who just got a brand new xbox arcade and doesn't want it so they are selling it to me. I've heard that it doesn't have a bunch of harddrive space. He most likely won't be using live, but in the future might get an account. Basically should I buy the arcade version or just get xbox's new 4gb model?
 
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