Have been doing this since windows 98. 4GB/FAT32 ultrascsi physical hard
drive used entirely for XP, ME, and 98 swapfiles. Moved the scsi adapter,
two ultrascsi drives, and scsi cdrom to a P4 system built almost 2 years
ago.
Considered ide, but was concerned with mutual access time by the swapfile
and anything else.
Windows itself is on an ide drive. Windows runs the size constraints on the
swapfile.
Can see no detriment to performance.
Another bennie is the swapfile isn't participating in fragmenting the
default windows partition filesystem, nevermind the space not taken by the
swapfile that may be an issue on some PCs with limited hard drive space,
space is not an issue on my PC.
Can't qualify better in XP. 98/ME seem more stable. Its not any worse
performance-wise while using any of these OSes. Would highly suggest it on
PCs with software that write their own "swapfiles" like some video rendering
software. And in the method I've used, not on the ide bus.
All 3 versions of windows will recover to the default location if the user
designated swapfile location is not available. Its invisible, a slight
delay at desktop boot will occur, you won't be notified. In my case,
windows was a bit sluggish at that point, even after a reboot.