IMO the more options available the better, personally I was never that much interested in the PS2, but I very much like the PS3. The PS2 is still available and doing well at a cheaper cost. I bought a more expensive Amiga 2000 in the 80s, while most bought the cheaper Amiga 500. The A2000 with better specs simply suited my personal preferences much better and while still being able to play all those great A500 games.
With regard to Blu-Ray and HD-DVD technology becoming cheaper, this has largely to do with PS3 mass production as well.
The PS3 offers a lot more horsepower and functionality compared to the PS2, so it's natural development will take more effort. Releasing the PS3 a year later would have allowed for a little cheaper launch price, but I think now with the PS3 already in mass production, production costs are actually coming down quicker. Eventually we will probably see a slimline PS3 at a much lower cost, together with system upgrades and a larger games library I think will become interesting to a larger audience.







