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We buy more external hard drives and back up everything to external drives. I have a few cases that hold drives. I by inexpensive internal drives and put them into the external cases as I need them.
> I'm planning on either exporting the videos as MPEG-2 or uncompressed to lose as little quality as possible.
I don't know the size of your project but exporting as "uncompressed" may consume more drive space than the entire project itself.
Only you can decide whether you need it. I'm guessing if you have to ask then you probably don't. Archive the final thing to tape and be done with it.
>I want to know what you guys do when you projects are done
The original tapes go on a shelf, in case the project ever needs to be rebuilt. The project file and associated files - pics, audio, etc. are burned to CD and stored.
Similar to Jim...keep the tapes, delete the capture media files.
Project files are kept on a RAID 5 array, along with any additional photos, graphics or other non-tape-based media that was used in the project. This ends up consuming a handful of of gigabytes (ranging from 2 GB to 10 GB in most cases) and also includes the Encore project and assets there as well. At this rate, the RAID array needs to be expanded or replaced after about every 100 projects (1 TB array currently).
This is pretty cheap, about a $500 solution overall. Would be larger/cheaper still if I built it today instead of last year when HDD was a little more $$ than it is now. Also, I don't have to spend a lot of time "archiving" a project as I basically just go delete the captured AVI files off of my media drive and relocate the project folder to a subdirectory of the main array that is labeled "Archive" (just gets it out of my way). No DVD or CD burning or anything like that.