Some users have the mistaken belief that once they convert to the FAT32 file system that all of their wasted space problems are gone. This is not true. Even using the FAT32 file system you have to be careful of large partitions.
	This partition table shows you what I mean. If you make your new 40GB hard drive all one large partition under FAT32, then your cluster size will be 32K. That means that each file you store on your hard drive will take a minimum of 32K of hard drive space. So, a small 2K file will take the entire cluster of 32K to be stored. With the typical sized files that you and I use on our hard drives, that could mean a waste of up to 40% of that hard drive. So, if you thought you were buying a 40GB hard drive, you may find that you can only use about 24GB of that hard drive.
	The solution is to keep your FAT32 partitions on your hard drive under 8GB in size. If you do this, then you will only waste less than 4% of the hard drive space. This is very efficient.