Not a chance IMO. Sony are moving towards online media, HOME, etc - they will need a LOT of storage to handle this. Hard disks are cheaper than internal flash memory, and have 10x the storage. The size issues don't matter for the PS3 (but they do for something like the iPhone).
There is no real reason for them to remove the hard disk IMO.
Gesta Non Verba
Nocturnal is helping companies get cheaper game ratings in Australia:
Wii code: 2263 4706 2910 1099







