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Youll have to format it in fat because the PS3 can't read NTFS file systems (used by windows). A great tool to do this is the swiss army knife (I think it was that, it's pretty cheap), which can format a partition of the drive into the correct format. Windows can also do fat partitions, but only up to around 40gb (can't remember).
As for the drive, do the self made idea above, or get one of the hitachi externals.