No BC gonna's hurt them, a lot.
If I only have room in my living room for one Sony Brand console, I want it to play as many games as possible. Right now all of my Sony games can be played on the PS2. If I get the new model, I'd like to keep that ability. The $400 PS3 doesn't let me do that. So I either need to find more room, or I need to drop my PS2 collection.
Sure, I COULD get the $500 PS3, but that's $500. I'm not paying $100 for BC.
Since many casuals have the PS2 and its games, they're still not going to move, assuming they would pay $400 anyway. And assuming they won't buy the $280 X360 Arcade pack (since that isn't BC with PS2 games, either.)
Good luck Sony, you'll need it.
There is no such thing as a console war. This is the first step to game design.
