Chaining USB drives
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Due to the way most modern filesystems (including all filesystems that windows supports) work, the only clean way to implement this is to have each segment appear as a separate drive. The operating system only sees the drive as a block-level device, so the drive doesn't know anything about folders or files. It just sees binary data.
You could implement a virtual block-level device on the device, and read files from that to write to each segment, but that would be a major performace hit, and push the cost up significantly as each segment would need a processor and a few megabytes of ram.
The only other way I can think of would be a custom driver.
But I have never, ever, ever, thought "dammit! If only I could plug more USB memory sticks into this infernal machine!"
In fact, the only time I'm ever using a USB stick is to sneaknet some files to someone else (because in the year 2011 we have yet to figure out quick, painless filesharing with people you're physically near by. though Dropbox is starting to get ubiquitous enough...), and that hardly requires more than one USB port.
You can share files with Dropbox without the reciever having a n account, and as far as I can tell without installing software on either computer. Just login to dropbox.com, upload, and move the file to a public folder.
I really wish I understood why people don't do this generally, it's quite painless if you have an account already.
This is pretty annoying if they're sitting 10 feet away, and you can get it done faster if you just pull out a USB stick and do it that way.
There really needs to be a solid way to share P2P with someone on the same network.
USB flash drives aren't used for everything anymore. I don't know anyone who regularly uses one and would find it acceptable for the only thing holding 3/4 of the drive to their person to be the static friction of one USB plug, which is the only thing holding one of these combo drives together. If you're using a flash drive for a file today, chances are the file is too essential or too sensitive to depend on one of those plugs never coming undone, over a multi-year daily use lifespan.
http://blog.laptopmag.com/usb-stick-contains-dual-core-compu...
It is pretty though.
The hard part would be the board layout (USB2 requires some line impedance matching, afaik) and the actual packaging.
I reckon you could (conservatively) fit the necessary circuitry into 1 or 2 microSD sized cuboids, maybe one above the plug/socket, and one below. Maybe even less if you eschew some of the spec and only support daisy-chaining your own devices.
[1]: http://www.yankodesign.com/2010/03/22/running-out-of-usb-por...
If I want to plug multiple drives in, I just do. There is no reason I need to plug them into each other.
Whoever made it probably imagined that the drives would share a filesystem (i.e. one drive letter for all of them) - but did not think it through since doing that is too complicated to be practical.
I agree that it's not very useful. There's probably a complicated way to achieve something similar using a proper hub, a bunch of sticks, and software. But most people are fine with a bunch of sticks for different things - "my live boot OS", "my music", "my photos", "all my other stuff".
More useful would be a USB stick that came with stickers to describe content - cute little camera icons or music stuff. Or at least a strip that the user can write on (with a pen, not file system) on the case.
As others have said - it is pretty though.