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Vertical will help with ventilation, sometimes, however, its probably better to have it horizontal, otherwise you or someone else will end up bumping your 360 and scratching your disks.
For the DVD drive question, they all seem to work about the same, but BenQ drives seem to be the most quiet. However, if you ever become interesting in using modified firmware, Samsung Drives seem to be the best option.
Oh yeah, its also worth noting that occasionally, some people have had problems with Samsung drives not ejecting, I however have not experienced it and I have a samsung drive.
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MAIN: Intel Core 2 Quad Q6600 @ 3.4GHz, 4GB DDR2-1066, EVGA nVidia GeForce 9600GT 512MB, 320GB Seagate Barracuda, Rosewill 850 Watt
Laptop: AMD Turion64 @ 2.3GHz, 2GB DDR2-43, ATi Radeon Xpress 1100, 80GB Western Digital
Secondary: Intel Pentium E2200 @ 3.2GHz, 2GB DDR2-800, PNY nVidia GeForce 9600GT 512MB, 250GB Seagate Barracuda, Antec Earthwatts 430 Watt
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