I had issues with another major brand USB drive (forget the name at the moment) but I had three new ones fail and become corrupt in little over a month of use each. Was convinced it was the the audio system at fault until I tried one last time with a Sandisk Cruzer. Many months now and no problems at all.
I think they are all FAT32 from the factory...but if you ever reformat it I think windows (at least mine did) defaults to something else the car can't read depending on the version of windows you have. My old Win7 machine defaulted to NTFS, and the 8.1 and 10 machines another newer one. You would have to manually select it to set it right afterwards.
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