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As I was reviewing my RSS feeds this morning I came across this entry from the Live Mesh MSDN Blog:

http://blogs.msdn.com/b/livemesh/p/faq.aspx

Update 05 Jun 2010: The above link now leads to a 404 Not Found Error for some reason.  Our friends over at LiveSide.net have reconstructed it from a cached version in Bing.  You can find that here – Live Sync FAQ for Live Mesh users (it lives!).

This Frequently Asked Questions page has information for users of the Live Mesh Beta; Users of the old version of Sync and information that impacts all users of either the Live Mesh Beta or the old version of Sync.

One of the big points that has been discussed over the last few days since more details were revealed about the new Windows Live Sync is that fact that the storage has been dropped to 2GB compared to the 5GB that Windows Live Mesh offered.

There has also been some discussion about whether or not the 25GB of storage that you get with Windows SkyDrive in conjunction with Windows Live Sync might be combined for the new Sync.

Well I mention those two things specifically because the last two entries on this FAQ answers the storage drop and SkyDrive storage usage:

Q: Why can’t I use all 25 GB of my SkyDrive storage for synced folders?

A: Synced folders on SkyDrive work differently than the rest of your SkyDrive. Learn more about the differences between Sync and SkyDrive

Q: Will I be able to purchase additional online storage for the new Sync?

A: While we expect that most customers will be satisfied with the amount of free online storage for synced folders, we understand you might be interested in more space. This is something we would consider for a future release.

There is a lot of good info on this FAQ page about when you have to upgrade and running the new version of Sync alongside the current versions of Sync and Live Mesh.