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Question on external SATA drives

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I just connected Seagate SATA drive in an external enclosure to external SATA interface on motherboard, and XP sees it as SCSI drive, treats it as removable storage and does not allow for partition to be created but rather a volume.
Is this expected that eSATA drives are seen by XP like this?
Is there any performance penalty or higher system resources usage with hard drive operating in this manner?

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