Currently we bundle xml files with the mods, while only XMB should be used. (If they don't work that's another issue) For the main game packaging or not makes a difference of about 40MB when archive is compressed, but for some mods it can be up to 50% of the mod size, which is non negligible. This patch adds a flag to the game, to allow users not to bundle them.
This is also have the advantage of making mods a bit more hack proof, as it's harder to get the XML code. This would be useful for proprietary mods, were the case the arrive