Things You'll Need
Instructions
Connect the USB drive to your computer via a USB port.
Open the Windows Start menu and select "Computer." Open the USB drive.
Select "File" and then "New Folder." Name the folder "Videos."
Drag the AVI file(s) from your computer to the "Videos" folder. When the movie files finish copying, disconnect the USB drive and plug it into the USB port in the back of your Xbox 360.
Power on the Xbox 360 and navigate to "Video Marketplace." Select "USB Storage Device" and navigate to the "Videos" folder. Select the AVI file to begin watching the movie.