YOu can use this to fix your HD Smitty....

I got this form someone on this siteand it helped me in the EXACT issue yourhaving! It will work. Your NOT replacing your HD, use it to fix your current one.

how to replace your stock hdd
-----------------------------

** WARNING WARNING **
this is a very rewarding mod with high payoff
(bigger hdd to store games, movies, etc), BUT requires care and
attention to detail. if you're unsure at any point, seek help. also,
this will VOID YOUR XBOX WARRANTY.

(you need three types of torx screwdrivers: #10, #15 and #20)

1. acquire a replacement ide hdd. caveats:

   - must be >8G (stock drive is 8G)

   - must be "lockable" (see `xbox hdd compatibility chart
<http://xboxdrives.x-pec.com/>`_)

2. get current version of `xboxhdm
<http://www.eurasia.nu/modules.php?name=Downloads&d_op=viewdownloaddetails&lid=1191&ttitle=xboxhdm_v1.9>`_
utility (requires registration to download) and extract it to a dir
on your PC.

3. under xboxhdm/linux, you'll see a handful of dirs. copy your
backed-up C: contents to the C dir; your backed-up E: contents to
the E dir and your eeprom.bin file to the eeprom dir.

4. from xboxhdm dir, run 'make-iso-win.bat'. it will create a burnable
iso image using the linux dir.

5. burn the iso to a dvd.

6. power-down your pc and remove all harddrives. set your
soon-to-be-xbox hdd to cable-select and attach it to primary master
bus. boot pc with xboxhdm disc in drive (make sure your pc can boot
dvds).

7. the pc should boot linux from the disc and present you with a few
options. choose the first one ("boot vga console with xbox-drive
utilities").

8. once you get a command prompt, type 'xboxhd' and eventually choose
"build xbox drive from scratch". be sure to agree to copy over C:
and E:.

9. once it's finished creating the xbox drive, reboot (i think there's
a reboot command) and let the dvd boot again.

10. this time, choose "boot linux with locking/unlocking utilities".

11. once at a command prompt, type 'lockhd -a'. this will lock your
hard drive using a key from your eeprom (very important step).

12. if everything went well (and it'll tell you), shut-down your pc
and remove your new xbox hdd.

13. open your xbox:

   a. ground yourself with a wrist-strap.

   b. there are six (6) #20 torx screws one the bottom of the
     xbox. four under the rubber feet and two under stickers
     (`look here for illustrations
     <http://www.xbox-scene.com/articles/open1.php>`_). remove
     all six screws.

   c. carefully flip xbox over and carefully remove top cover (it
     covers the top and sides).

   d. you should now see the dvd reader and hdd.

   e. remove the ide and power cables from the stock hdd.

   f. remove the #10 screw holding the plastic hdd enclosure
     (it's under the ide cable on the power-connector side of
     the hdd).

   g. free the hdd power cable from the hdd enclosure (you won't
     be able to remove the enclosure otherwise).

   h. lift the hdd enclosure out of the xbox.

   i. still grounded?

   j. remove the four #15 screws holding the hdd in the
     enclosure. place stock hdd in anti-static bag and label it.

   k. attach new hdd to the enclosure using the four #15 screws.

   l. reverse stock hdd removal steps.

(at this point, i left the cover off in case i needed to
replace the stock drive)

   m. attach to tv and power xbox on.

here's where one of (at least) three things will happen. a)
your machine will boot just like it did before you powered
it down (and present the modded dashboard). b) your machine
will boot stock m$ dashboard. or c) your machine will
produce some kind of error. my xbox did b. if yours does a,
great. if it does c, retrace your steps and seek help if
necessary. if it does b, read on.)

   n. if your xbox boots into the modded dashboard, you're done!
if it boots into m$ dashboard, you need to reinstall the
softmod. unfortunately, you can't use the gamesave that's
already on your hdd. you have to delete the one on the hdd
and copy over a fresh one (same steps you originally
took). go through the same steps you used initially and the
result will be your modded xbox with a new drive.

     tip: if the replacement hdd is >137G, you need to enable
the G: partition and format it (otherwise, all space >137G
will be inaccessible). you enable the G: partition under
dashboard settings and format it with Krazie's Extras tool.