I thought that max size of a fat32 partition was something like a terabyte? If so, then why when i go into disk management to create a partition, it only allows me to use NTFS-type format when i go over ~40GB?
NT based Windows (2000/XP/2003) will only let you format FAT32 partitions up to 32GB. If you want to format a partition larger than this, either put it on a 9x machine, or use something like this: