When FDISK runs, it will ask "Large Disk Support." Answer yes and it should be FAT32. If not you can use other tools like Linux's FDISK or PARTITION MAGIC.
But with these smaller hard disks, there is little benefit to FAT32.
Is it possible to fdisk and format the 528MB, 1.2GB, and 2.1GB as fat 32 and also install win 98se on it? Thanks!