i have about 6TB of video (hundreds of movies) and 600G of music (over 2000 albums) on my home media server (yes, all converted by me using LAME and Handbrake). i don't expect any device currently available to be able to carry it all with me, and i don't want to. like trubu i have a 32G iPhone and currently carry 13 videos, 810 photos, 1541 songs and 157 apps (including stanza loaded up with 50 or so books, classics with its books, and great books with however many it has) with 2G still free. i'd say that's plenty to get me through a week or four without seeing a desktop again to reload.
let's just say i'm glad i don't have to carry my dvd or cd collection around with me.