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Yes for someone who has never had one before, a 500GB or 1TB drive is like a bottomless pit.

I would definitely recommend getting one that you actually install in your computer: it requires a little more work to put in, but it is blazing fast compared to the old USB interface.

If you don't move files around too often, you can't go wrong with USB though. It's fast enough to play HD media without stuttering; not too good on the I/O multitasking though. I wouldn't download stuff to it and play movies from it at the same time.
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