120GB now available "while supplies last."
Microsoft would not confirm the discontinuation of the 120GB hard drive, only saying the price has been reduced to $99.99 "while supplies last." Reports of short supply seem to suggest it may not be around much longer, however.
The upgraded hard drive was originally an exclusive pack-in for the Xbox 360 Modern Warfare 2 bundle. Japan was the first region to receive the standalone 250GB drive.