Upgrading my storage capacity

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Hello Dwellers of the Hard drive forum.

I currently have a 160GB Maxtor SATA hard drive that has served me well for probably 6-8 years now. Being an avid gamer I have noticed that as game install sizes increase the amount of spare space I have is shrinking so a hard drive upgrade is required soon.

Now I know I have two options in terms of SSD or SATA and although I would love to switch to SSD AND increase my storage capacity I don't have that much of a budget (upto £75) so replacing one for the other is out of the question. Performance is not a massive thing I'm looking for but if its able to improve the overall performance of my PC I'll be happy

I could get a small SSD to install the OS on and format the old hard drive and use that for storage, or replace with a 500GB SATA drive until SSD become more affordable. Is that an efficient way of doing things? or is having things on two separate drives going to cause performance issues? are disk drives old hat and should i really be looking seriously at SSD's

All advice and comments welcome
 
If you have been happy with the performance of the Maxtor why not just get an updated sata, chances are it will be a better drive in terms of cache etc. Ssd is nice and all but by the time you add the os and games etc you probably would be looking at an 80gb ssd at least.
I would stick with sata until as you say ssd become more affordable, this drive would be a good upgrade in terms of 640gb space and the 64gb cache - on special this week and under budget :)

http://www.overclockers.co.uk/showproduct.php?prodid=HD-342-WD&groupid=701&catid=14&subcat=940
 
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