I own a similar Archos unit, and I can say, without a doubt, that it's crap.

The firmware for that piece of sh*t was awful to use, always crashed, and didn't even have all the functionality they said it did.

However, I do happen to love my Archos AV340. This is way out of the price range you're talking about, though. But it does mean that I think they've improved their products, not that it means much in this thread

I will say that Tony's right. Having more space is wonderful. On my 40GB device I have 3 movies, 12 one hour TV episodes, 20 albums, and about 200 photos, and I haven't filled it up half way yet Also, it's so nice to have a portable hard drive with USB 2.0. I can copy over a many-gigabyte file in no time and take it with me.