There are two parts involved with a disk replacement: The cost of the drive and the cost of labor. Both are incorporated into the final cost of the replacement. Since I have never had Apple replace a drive, I am not sure as to how they price it out. However Apple has historically charged a premium price for a drive. That is why, at least with towers, and other Mac's with easy accessible drives, most customers 'in the know' buy the minimum disk with the product and either 'throw it away' (perhaps by reselling it on Craig's List), or using as an auxiliary drive after replacing it with a better and less expensive unit(s). In any case, if the repair is replaced under Applecare, your screwed, as you pay only for AppleCare and not for the repair or parts. Under its policy, Apple can do just about anything it wants to, so long as they return a working machine. However if it is outside of warranty, then you should have some negotiation room. If they are charging you their going price for a drive and a fee to put it in, they they should be either returning the bad drive to you or refunding back a 'shell' fee if they insist on keeping the drive, After all it is your drive, not theirs. You should be informed of this in advance or at least it should be indicated in the fine print. If you don't bother to read the fine print, they one can argue that it is your fault. However with the way companies bury important consumer info in legal gibberish on purpose to get away with things (when did you last fully read a EULA) and shaft the consumer, you still might have a valid complaint, if the company (i.e. Apple) did not clearly state the disposition of your drive in plain obvious English. In any case if it happened to me I would seriously consider filing a complaint with my State Consumer Protection Agency and the local BBB. In any case if I was paying for the repair and drive, through Apple, and they refused to guarantee that I would have my original drive returned, (I would have recorded the SN from Apple Profiler), I would find someone else to fix it. Unfortunately large companies are not generally known for insuring that their customers personal info is protected. One of the 'scare tactics' used by companies like Apple is to put the fear of God into you by warning you that if you get an unauthorized repair done, your warranty or Applecare agreement will be voided. However if you are paying for the repair, then there is no warranty or Applecare agreement involved and they are making a useless, empty threat which you can comfortably ignore while you laugh at it. So if you are in this situation, I suggest using common sense and try and work something out with the representative before you agree to the repair. Many times you can negotiate a win-win situation. Otherwise find someone that will do the work the way you want it done. Remember it is your machine, your drive and you are the customer that is paying for it. In regards to drive costs, I bought retail 2 -500GB SATA drives for under $200 and just plugged them in to one of my MacPro's. I RAIDed them together for 1TB of space for Time Machine. If you are buying a new custom MacPro, I suggest you compare that to Apple's installed price for additional 500MB drives.