Previously, Xbox supported external hard drives up to 16TB, but with the latest update, your console can now recognize and use external storage devices as large as 20TB (such as Toshiba's N300 PRO 20TB Business NAS), 22TB, and even more. However, keep in mind that when you connect a new external drive, you’ll need to format it for use with your Xbox, which could involve transferring a lot of data if you're already using a large drive.
It’s also important to note that while external USB drives (including SSDs) can store backward-compatible Xbox games, Xbox Series X and Series S consoles can only run current-gen games from internal storage or dedicated expansion cards, such as the Seagate Xbox expansion cards.
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