External with good Read/Write

USB 2.0 is the predominant interface for most external hard drives, but it will limit your performance greatly.

If you want good read and write speeds, you definitely want eSATA or something faster than USB 2.0 if that's your main priority. I've seen some pre-packaged external disk drives with eSATA using the 2.5" form factor, but I can't link to it immediately at the moment as I can't find it; there is alternative ways to get a bare 2.5" SATA hard disk to put inside of a casing that supports eSATA.
 
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