You mean the hardrive by "storage device"? If so, yes you can, but you will have to re-activate windows 7 because you will have new parts and windows don't like that. But you might be able to use both hdd(did not bother to looks at motherboard specs). At least, you can keep your 400gb of stuff to download :)
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If you mean it from OEM license standpoint, then you don't need optical drive as: "...fully assembled computer system that includes a CPU, a motherboard, a power supply, an internally mounted NAND or revolving magnetic-based hard drive, and a case." http://oem.microsoft.com/public/sblicense/2008_sb_licenses/fy08_sb_license_english.pdf
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You will need to wipe your hard drive and reinstall Windows (at least with windows 7 that is, I don't know or care about 8 lol). Hard Drives are not Plug and Play with the BIOS yet, at least in my experience.*
I just upgraded my system, pretty much a brand new build Mobo/CPU/RAM/Case/Power Supply/DVD Drive, at Newegg it was around $600 for an FX8350 Black, 16GB Ram and all that jazz. I love the FX8350 Black and you could save about $100 over the 4690k unless you are heartset on Intel.
EDIT - http://www.newegg.com/Product/Product.aspx?Item=N82E16819113284 here's the CPU I was talking about.
*You can use the Windows System Prep but if you do not have a Genuine copy of Windows I doubt you can use this.
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I have loved this setup so far, that CPU goes on sale pretty often. I got a bundle on Newegg, 16GB Ram, MoBo and CPU for about 300 then picked the rest up where I found it cheapest.
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Yeah, you can see there, that the FX isn't outperforming the i5 at all. It's way stronger at singlecore. There's not much games that can utilize more than four cores anyway. Usually games are still running on two cores, so yeah, i5 will perform better since it has more power at singlecore.
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Since you need one socket for AMD and another for Intel CPU, you might be pissed after you buy an AMD one and eventually want to buy Intel CPU sometime, since you will need another motherboard also - That's what I did and I'm not really happy about it.
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