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@tk1989

The difference between the 40GB and the 80GB/60GB without emotion is that the 40GB not only lacks the Emotion Engine available in the initial launch 20 and 60 SKUs but it also lacks the PS2's GS GPU which they included in Europe's 60GB and the 80GB SKUs. With the GS GPU they can do software PS2 emulation.

Since the 40GB doesn't even have that (one of the main reasons they were able to cut its costs down and get it down to $400) the software emulation will be a little trickier. That's why Sony still hasn't even stated officially that they will bring PS2 emulation to the 40 GB. We heard they recently hired programmers with BC experience so it seems they are trying to look into it but for now they aren't positive it can be done, or at least done well enough.