There has been a rumour that SkyDrive will be offering unlimited photo and document storage. The SkyDrive team in a Q&A on twitter has squashed the rumour, but is lending strong support to the other rumour, that they service will allow users to increase their capacity for pay.
Other new features which appear to be hinted at is shorter URLs for shared SkyDrive files (@MarkXA We agree that our URLs could be friendlier. Stay tuned) but no change in the 100 MB per file limit.
Other issues such as the unification of Live Mesh and SkyDrive and better desktop integration were to be addressed in the future, as would be video playback from SkyDrive on Windows Phone 7.
See the Q&A in full here.
Thanks Edwin for the tip.