Comment by dspillett

> There is 264KB of space left for your newly created files.

This could be increased noticeably by using one of the common extended floppy formats. The 21-sectors-per-track format used by MS¹ for Windows 95's floppy distribution was widely supported enough by drives (and found to be reliable enough on standard disks) that they considered it safe for mass use, and gave 1680KB instead of the 1440Kb offered by the standard 18-sector layout. The standard floppy formatting tools for Linux support creating such layouts.

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[1] There was some suggestion² that MS invented the extended floppy format, they were sometimes called “windows format”, but it³ had been used elsewhere for some time before MS used them for Windows and Office.

[2] I'm not sure if this came from MS themselves, or was invented by the tech press.

[3] and even further extended formats, including 1720KByte by squeezing in two extra tracks as well as more data per track which IIRC was used for OS/2 install floppies.