According to the folks at Kotaku, it has been revealed that the amount of actual usable storage on the Xbox Series S is 364GB. It should be noted that this isn’t uncommon to find that storage advertised versus actual usable storage can be different. This is because of installed system files that can take up a bit of space.
This is the same for the Xbox Series X where users only get 800GB of usable storage out of the 1TB that ships with the console. In the case of the Xbox Series S, gamers are essentially losing about 150GB of storage. This also means that gamers will have less space on their console for future titles.
What gamers will have to do is that they’ll need to micromanage their games and storage, or alternatively, they can purchase an expansion card which last we check, won’t exactly come cheap.