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^ I really don't see the optical drive being a huge expsense to include by the time the new gen starts - they should be able to get a 4x BD for under $20 wholsale in 2012 (especially if they're making them).

So if they were to implement your proposed solution - sure you'd save $20 off the console itself but you'd have to pay an extra $5 for every game - so buy more than 4 games and you're worse off. For if they don't up the price then they'll be losing all their royalties on the cost of the flash storage card/cartridge and then no one benefits, not the consumer and definitely not Sony.