I have had good experiences with the Fantom series which offers eSATA and USB connectivity. eSATA offers much faster access speeds, and allows for SMART data and temperature info for each drive. I would recommend eSATA especially if you plan to backup to the drive, or transfer large files to or from the drive. Generally USB 2.0 tops out at 32-35 MB/sec whereas eSATA can do as fast as your drive is capable of - generally 100-115 MB/sec at max.
I love my Buffalo Ministation Metro 320GB. Fast. Reliable. Some "high speed USB" software. And with password protection of you so desire. Unfortunately this series only goes up to 500GB. I bought a Western Digital My Book Essential 1TB external HDD last year. It gets the job done, but it's not quite as fast as I'd want today.
I still prefer to just build my own from a good HD and an enclosure. WD Green 1TB drive, and a sata --> USB/eSATA enclosure will beat the price point on nearly any other 1TB external.
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