|I see that WD has a 2TB drive out. Link below.|
I agree about putting all your eggs in one basket. Seems to me the larger the drive the more likely you will experience data loss. For one thing, the way the drives accomplish the higher capacities is to squeeze more data into the same area. The ariel density of the platters has been on an upward climb since the invention of the hard drive. Now it is progressing at a faster rate than ever.
IMO there is a down side to this. Head alignment must be more precise than ever in order to read and write to the ever smaller target. Smaller currents must also be used in order that the data doesn't spill out into a larger area. Both these facts make it more likely data will not be readable down the road. The bearings and motors may be better giving longer life expectancy but the points made above make the package more vulnerable IMO.
Unfortunately this is unstoppable. Smaller capacity drives will still be manufactured using the higher ariel density. Just will have less area. That is accomplished by using less disks or sides. Also the latest trend is to make the platter smaller in diameter than in the past without reducing the housing. This makes the average access time lower, which is a good thing.
My solution to my fears is to maintain at least two copies of my personal files. Any downloaded programs are eventually burned to DVDR or CDR.