This is a duplicate of this bug:MCPE-159075 and I have found that as well. I logged on to my Xbox and saw that I had to install a 0KB update. I tried everything on original report, those didn't help. I wanted to bring this to someone's attention.

Affects: Xbox Series X, Xbox One

1. Open Minecraft (on Xbox of course)
2. Wait for it to open/prompt update

Expected results: Minecraft opens, OR Minecraft prompts user to install an update

Observed result: Minecraft prompts user to install 0KB update, when selecting update, a separate install of Minecraft begins downloading and stops very quickly, prompting that it 'needs more space' when I have plenty of space available (30GB).

May be related to MCPE-157047

Solutions I have tried:

• Deleting/reinstalling Minecraft
• Waiting
• Hard/soft resetting Xbox
• Unplugging xbox and waiting

I think it has something to do with the latest patch

Here's a copy paste of user Rob's response, he explains better than I do. This is not what I saw exactly, but is fairly similar:

When attempting to launch Minecraft on Xbox, the game does not launch and instead displays an error that Minecraft needs an update for 0KB. Once the update is accepted by selecting "update" on the Xbox error menu, a new separate version of Minecraft will begin installing. Occasionally after selecting "update" it will prompt another alert stating Minecraft requires 2.7GB of storage even when console storage is available. However, this new separate game will never install completely on its own. It will continously give an error that "Installation stopped." It is possible to complete the download of this separate Minecraft by continuing to install it after each "installation stopped" error. Upon completing the installation, the game will launch but be very unstable and won't be able to launch again once the console if powered off and on or if another game is launched. Additionally, no game saves are present in the "worlds" tab. The ability to download/sync "old saves" is available but all saves available to sync are from December 2021 and prior. Essentially, this separate Minecraft acts as a new copy of the game and requires set up of screen area, defaults the controls, has no prior game saves, and has no purchased/owned marketplace content installed/downloaded. This issue has been ongoing since the 1.19.2 Hotfix update. (Note: Xbox console is enrolled in the Xbox Insider Alpha Skip-Ahead program)