Apple iMac IntelC2D/2.93Ghz 24" 4GB/640GB/DVD±RW/GT120 My dad has the above imac. When purchased he paid the extra to have the 1TB hard drive instead of the 640 GB. Anyway in recent weeks the spinning rainbow of doom constantly makes an appearance. He has had crashes were the computer goes to a grey screen and after a restart does not go any further than the grey screen with apple. I have restarted holding down the option key and reinstalled everything from the time machine and the computer works again but not perfect as the spinning rainbow of doom usually makes an appearance. I have been to the Disk Utility to repair the hard disk and 1TB ST31000342ASQ Media is marked in Red saying This drive has a hardware problem that cant be repaired. Back up as much data as possible and replace the disk. See an authorized Apple Dealer for more information. S.M.A.R.T. Status: Failing. He has had the computer since July 2009 and uses it for very basic computer work. As it says do I have to replace the drive? and is it possible for me to do that on a imac or will it be very expensive and in that case more advisable to buy a new imac. Finally if he buys a new imac it advisable to put all that is on his time machine back on the new imac? - I am just concerned there may be a bug or something that would start the problems again. Any help appreciated.