Formatting External Hard Drive

I have just bought a 60gb external hard drive. The drive is formatted as fat32 at the moment. My pc hard drive is formatted as ntfs, and i have windows xp installed on the pc. Can i format the external drive to ntfs, and is it worth it. Or does it not make any difference?
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More about formatting external hard drive
  1. You can use Microsoft's convert utility at the command prompt to do it once it is mounted. Or better yet, reformat to NTFS if you don't need to save the data. The biggest advantage is being able to save large files (>4gb ISOs)
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Hard Drives NTFS Formatting External Hard Drive Storage