I'm a little confused about the process of imaging versus backup. My situation is this. W2K system with 80gb HD, 14% used (could probably get that down with some housecleaning). System has some proprietary software on it. This system cannot go down so need to have some type of backup in place. Want to use Acronis (tried Ghost once, experienced major problems and will not use again) I need to be able to restore this system immediately should something happen so need to be able to pull out a failed drive and put in a duplicate and need to be able keep replacement in different location. Also, need to upgrade this system to XP. Which at that point, the proprietary software will no longer be needed. So, first issue is backup. If I backup to external HD via USB, will I be able to use that drive as internal replacement? Do I need another 80gb HD to do that? Given that this is a networked system, another 80gb HD would be a waste of money, only need a 40gb. I was hoping to do some type of external backup of existing system, add a 40gb HD and put XP on it and when ready, pull the 80gb. Then I'm back to some type of external backup for the new 40gb HD. Additionally, I have one other networked W2K system 40GB HD I need to backup (another "can't be down" system) and update to XP. I'm confused as to which is really better - a backup that can be restored to a new HD, spare HD w/image to replace failed drive, if external backup HD can be used internally, can backup from 80gb HD be put on 40gb HD? What is the most efficient, cost effective way to backup and update these two systems? Thanks in advance for any suggestions and guidelines.