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radishhead said:
Isn't that basically what the WiiU had?

No.

Wii U, like PS4, had a day one update, but I played games on my Wii U while the update was downloading.... also just like PS4 will be able to do.

Though, unlike Wii Us notoriously slow update system in the beginning, X1 will likely churn out that 500MB rather quickly or at least quicker than Wii U did.