Upgrading the PS3 Harddrive

[Spire_VII]

My birthday is coming up so i'm gonna ask for a Harddrive for my PS3, i currently have the launch 20gig PS3 model. I'm looking at this harddrive to put into my PS3 -

http://www.newegg.com/Product/ProductReview.aspx?Item=N82E16822148338

It's Seagate 320GB Harddrive at 5400 RPM with 8MB Cache & Sata 3.0Gb/s Notebook Drive (OEM).

Before doing the upgrade I had some questions about the process -

 

1. From what i understand the 20gig PS3 harddrive runs at 5400rpm also so there won't be any issue regarding overheating, right?
2. Are there any reportied problems from people upgrading harddrives? (like the PS3 not recognizing the new drive, etc...)
3. Will the haddrive i listed work perfectly fine?

Furthermore, I'm willing to take suggestions for other harddrives if they are better but i would like them to be Seagate drives (since i can get an employee discount) & for the rpm be the same as the stock rpm for the 20gig drive that's currently in the system.