RAID uses multiple disks to either improve performance or reliability.
If you use a RAID controller in RAID mode you will need at least two disks. RAID 1 will put identical data on both disks (mirroring) Slower writes, faster reads. If a disk fails data is OK as it is "mirrored" onto another disk. RAID 0 or striping improves performance of both reads and writes by using 2 or more disks as one logical drive(One drive letter, two or more disks) this increases bandwidth of the storage system. However if one drive fails all data is lost.
As mentioned by mrk
If you use the controller in RAID mode then you will need to F6 windoze during install to load the controllers drivers. In IDE mode the controller behaves as if a standard IDE drive is connected and windoze has built in drivers for IDE.
Only in a raid 0 with several disks will the performance difference between SATA I and IDE be realised. an E-IDE interface will allow data transfer at 133Mb/s, SATA I @ 150Mb/s and SATA II @ 300Mb/s These are maximum speeds of the interface and it is shared amongst all devices on the same channel. (no single desktop drive will be limited by either of these interface types)
Even the fastest single drives in either SATA or IDE do not use all the bandwidth available. Therefore in the average single drive desktop system the user would be hard pushed to see a peformance difference between an IDE and a SATA drive. SATA II has NCQ and brings something else to the table that I have not yet experienced. Others will have to highlight the benefits of SATA II
Unless you need disk speed for video encoding or security of data, RAID is pointless. With a single drive, I doubt one could percieve a difference between a SATA controller in native (SATA) mode or in IDE mode. If you are not going to RAID then I would leave the controller in IDE mode for ease of install and ease of use.
There is a great deal of info out there regarding RAID, its benefits and drawbacks.
good luck