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like most people have said, sony removed it to save money that they already have. sony makes billions of dough each year so i don't know why they need to want to save a few quarters in the expense of devaluing their precious ps3 and without backward compatibility for me personally i cant really justify the $399 price tag for blu ray players cost less nowadays, yes it has built in wifi that of which most people don't need so why not also  x'd that on top of the bc and reduce the ps3 significantly therefore why not make at least one ps3 without wifi/bc/ and no usb/card readers and in addition use cheaper plastic and make it smaller so the ps3 will cost less. dam i'm a genius.