I need Hard Drive replacement recommendation

The Hard Drive of my Compaq 6910p is giving errors, it will not pass the basic BIOS HDD Test, nor it will perform a checkdisk command. The unit boots up, and although I can do some work, it hangs up frecuently sometimes giving a "read error". Time to change the HDD!!!

My current drive is Fujitsu´s MHW2160BH PL. (5400 - 160Gb)

I would like to take this opportunity to upgrade the drive both in speed and in storage size. I would preferably go all the way to 7200rpm and 320Gb.

The question is: I need a recommendation on which drive to buy, I don´t know about specific comaptibility issues, (like I don´t even know what ATA-8 or SATA-2.5 stands for) so I need you to recomend an HDD as big and as fast as possible, that will fit into my notebook, and that the connectors will match those in my pc (fist time I see this kind of connector too). My notebook uses HP´s ProtectSmart HDD anti-drop protection, I don´t know if this feature is compatible with all drives. I have heard about lots of users having problems with Seagates (on this compaq model) so please look into relayability too. Price is NOT an issue.

Answer should include:
- Brand
- Model or Part Number
- Estimated Price

I will buy the recommended drive, install it and credit the points if the drive works.
Thank you.