Hard drive doesn't have as much memory as it says?

HDD manufactures define 1GB as 1,000,000,000 bytes. In reality (true definition as seen by your computer), 1GB is 1,073,741,824 bytes.

What does that do?

To obtain the true size, take the amount of GB advertised and divide it by true GB.

This example: 2000GBM = 2,000,000,000,000/1,073,741,824 = 1862.65 GB
Where GBM = GBManufacturer and GB = TrueGB

The other ~60GB is lost through partitioning windows for recovery and other situations. This means at the end of the day you have only the usable space visible.