If I add the external SATA drives as server storage, WHS formats the drive first and then adds it in; however, whenever I attempt to add an external drive as server backup file storage, I get a message that I must first create a partition. If WHS can use the drive as additional storage, why can't it use the drive to back up the server?

Is there a special procedure to add external drives as backup storage for server files?

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MSS (7.5TB Total): HP EX495, 1x1.5TB, 3x2TB (Seagate and 3 x WD Caviar Green), 2GB RAM, PP2
STORAGE (7.5TB Total): Sans Digital TR5M-B Ext. Chassis, 5x1.5TB WD Caviar Green
UPS (1500VA, 865W): APCC Back-UPS XS 1500 LCD w/GridJunction

Is the drive partitioned and formatted?

If not then when you add it to the pool WHS will take care of it for you which is why you don't get prompted.

If you use is solely as a backup drive WHS just attempts to use the existing disk structure.

I would bet this drive is RAW. Put it in an external enclosure to see for sure.

The drives are brand new out-of-the-box. I didn't realize WHS could use a raw drive for storage extension, but not for server backup storage. Do you know of any Add-Ins to allow partitioning/formatting?

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MSS (7.5TB Total): HP EX495, 1x1.5TB, 3x2TB (Seagate and 3 x WD Caviar Green), 2GB RAM, PP2
STORAGE (7.5TB Total): Sans Digital TR5M-B Ext. Chassis, 5x1.5TB WD Caviar Green
UPS (1500VA, 865W): APCC Back-UPS XS 1500 LCD w/GridJunction

Typically "Brand New" hard drives come formatted..I guess there could be an exception but...

Check out my reply to your other post for instructions on how to partition/format. Following those steps will at least let you find out what you are dealing with. The Disk Management routine in computer management will give you a bunch of additional information regarding the drive(s)

When you add a brand new drive to the storage pool, if it's not already initalized, (some are and some aren't), the new drive will need to be initialized as a basic disk first, then WHS will format the drive as part of adding it to the storage pool. When you want to add a new drive as a server backup drive, it needs to be pre-formatted and partitioned just like any other new drive.