Analysts from Bank of America and Bear Stearns have both brought up in recent reports that the next-generation XM2go units (Samsung Helix and Pioneer Inno) might be getting a bump in storage space in the coming future.

These new XM2go units - shipping later this month - will first be coming with 1Gb of storage space. Now, even though XM's compression is 3x as as efficient as Apple's AAC standard, supposedly the flash storage may be seeing an increase to 2Gb or more.

No word on whether a harddrive based Satellite Radio/MP3 device will be seeing the light of day anytime soon. While the timeframe is unknown, Bank of America believes these bigger, badder XM2gos may hit the market for the Holiday Season.

But until something more concrete comes by, let's file this away as a "rumor" just to be safe.