If price is not an object, then get the 3200. Things are much simpler for me with my 3100. When I first bought it, I wasn't so sure if the extra cost of the 4GB was worth it. Now almost a year has gone by and I can definitely say that I'm glad that I got it.
If you are using for email and websites, then having the extra storage is good. Sure you can use cards for storage, but I have more option with it built in. My CF slot has a bluetooth card as permanent resident and the SD slot can be used for programs exclusively. It is also better to use the HDD as swap space. One reason is that the HDD is faster than the SD. AFAIK the SD slots are still slow on the Z. Though people worry a hard drive may damage easier, we're talking about a small mass disk and head. It can stand a decent amount of G forces. If the hard drive dies, it is proven that it can be replaced. Streamline, trisoft and other venders could probably give a better idea of the stats on failures.
If the price is a concern, the 1000 is a very capable machine.
As my signature suggests, the 760 has similar flash/ram arrangement as the 1000. I have seen both sides of the coin.
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The only reason I would go for the C1000 would be its colour. It has more black!
I just love black more than the other fancy colours. But beside that, I do think the added MicroDrive is a big bonus. You will need the space. Trust me. There is so much you can put on your Zaurus. A large 4GB is great, but it is much slower than a MicroDrive and the CF slot is probably needed for a bluetooth or wifi card.
I have a C3100 so only 4GB internal MicroDrive but with a 4GB CF and 4GB SD, I sorta get close to having plenty of space, but not surprisingly, I only got about 700MB of free space left despite all that
As for the fragility of the microdrive, I did drop my Z several times, once I dropped it and it slid across the train from one side to the other. The Z got scratched a bit, but the MicroDrive suffered no damage at all! So if you aren't intentionally throwing your Z against a brickwall, then the MicroDrive should not be a problem. Beside, if the MicroDrive fails, you can always replace it with another MicroDrive or a FlashDrive. With the C1000, you do not have an option of adding it internally.