Yes, that is a fact. About three years ago new hard drives started shipping with a new advanced format that changes the sector size of the hard drive. Formerly sectors were only 512 bytes, now they are 4096 bytes in size. An advanced format drive must be specially prepared to work with older operating systems, and even if the drive can be successfully prepared it will perform poorly in a Windows 2000/XP system after being prepared. Failing to properly prepare it will result in data loss.
See more info from HP here: