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ChronotriggerJM said:
I think I'm the only person here who thinks this is an AWESOME descision if true. Theres far too many PS2 titles in the world and SONY WONT give them up. IF this were true, it would mean one of two things, 1.) That ps2 emulation is closer than we thought (40 gig plays all ps1 games right?), OR that they'll be pushing PS1 and 2 titles over PSN, which would be a HUGE deal for me :D

I would say you are in denial, and they DO want to give up the PS2 titles and are using the GS as an excuse. (It wasn't supposed to cost more then 50 dollars.)

They don't want people buying PS2 games because they've already made their money off them... and instead want PS3's floundering software to sell higher numbers and their PSN store to sell the "budget priced" games.  (Note: Software sales arn't that horrible attach rate wise, but attach rate doesn't help the cauffers.)

PS1 games might go over then PSN.  It's been a while since you could find them anywhere, even stores that sell used games don't carry them. 

 PS2 games couldn't without a software solution... which would just allow people to play PS2 games off their discs.