Windows 7 shrinks my HD (twice)

My 320GB HD died in my HTPC. I replaced with a 1TB HD and used my system recovery disc and backup to restore my system (almost as easy/intuitive as OS X, good job MS). When I was done Windows reported the new 1TB HD size as 300GB. I thought the HD was defective so replaced with a 2TB HD and repeated the system restore. I get the same results. Were is my other 1.7TB's of space and how do I get windows 7 to recover/use it?

Sory if it's obvious but I use OS X and not sure what is going on.

Thanks,

I see the unallocated space but when I right click I get a menu that has "New Simple Volume" (no create partiton and format) and other RAID choices that are grayed out. If I click on New Simple Volume it starts a wizard that wants to setup the unallocated space as another drive (like F: ). I don't want this I want drive C: to be 2TB. What am I missing?

I originally formatted the drive as in NTFS as one drive and it was shown as 2TB. Why and how did this change?

EDIT: Figured it out. By right clicking on C: (not the unallocated space)I could select "Expand Space" and expand all the unallocated space. Now drive C: is full size. I take back some of what I said about Windows coming close to OS X in ease of recovery.