Honestly, I think that everyone who currently owns a PS3 would probably say that Blu-Ray is essential to the PS3, but that is because they do not see a problem paying $600 on a system and think Blu-Ray is a great bonus. Personally, I only ever owned a Playstation product because of the third party exclusive titles that were on the Playstation/PS2 because of its massive sales lead; I think that this is typical of much of the Playstation's userbase because the PS2/Playstations million selling games are (about) 80% third party titles. "Why does this matter?" you're probably asking, the reason is because I know I am at the higher end of the spectrum by being willing to pay $300 (maybe $400) for a videogame system. At $600 the PS3 is going to limp along and lose most of its exclusives. Even if it sees a $100 price drop every year it will be in 2009 or 2010 when most people are willing to spend that kind of money on a videogame system, at this point it will be so far behind in sales that third party developers may have abandoned the system. Now, people will say that the extra capacity is needed and I will say that most of the extra capacity is being used for loading time optimization because of how slow the format is. The most common approach is that (because of how slow random access is on optical discs) you take a level and all of the models and textures that are used in that level and you zip them into a single file; now this will take up extra space because you're likely to be using a lot of the same models and textures in every level, so a lot of your data is replicated 20 or 30 times. Now, if you're running into a limit on storage capacity you can load multiple files for every level and reorganize data; if you have the space you will probably not bother because it takes time and there are benefits to having a larger disc image (piracy prevention) ...







