Keith:
Kevin is pretty much right. USB 2.0 is a revision of the original USB standard, designed to transport those big files quickly.
You WILL need USB 2.0 devices to take advantage of the increased speed (which is, I'm guessing, slightly more than 40 MB per second in practice). Older USB devices SHOULD work without a hitch, but they will use the slower speed for transmission (around 1 MB a second). The operative 'should' is in there because, occasionally, 2.0 firmware will have problems handling 1.0/1.1 devices, but ideally this won't happen as USB 2 is designed for backwards compatibility.
Just make sure you look for USB 2/Hi-Speed USB certification on the devices you buy. If you have FireWire connections on your computer, you may want to look at them too, as they are JUST ABOUT the same speed as USB 2.0. While USB 2 is slightly faster (in theory) than FireWire, the FireWire cable can (IIRC) transmit more power than a USB 2.0 device, which makes it useful for powering certain devices that may need it.
Regardess of which one you end up using (FireWire or USB 2) really appreciate that additional speed when you're transmitting Gigabytes of information from your computer to a device (or vice versa).
