Technology keeps on getting better and making me say 'cool'.Segate is coming up with a USB drives soon that will be as small as 1'' and will hold upto 5 GB of data. That is the capacity of DVD now a days.
More info on this found http://www.seagate.com/docs/pdf/marketing/Seagate_Consumer_Storage.pdf. Look at the second page of this pdf file.
Tejas Patel