no need to feel for me, cause I don't pay full price for games either, the only thing I pay full price for is take away food, and that's if I don't have coupons. XD

At Costco, we have a sign that describes the PS3 features. One of the listed features is Does not play PS2 games.

A lot of folks sold their PS2s or traded them in for credit toward a 40gb. I remember Gamestop offering like $150 to $200 off a $599 PS3. Now, Gamestop is offering $50 off for your PS2 when you buy a PS3 - 40gb or 80gb.

People buy it for two reasons - as the comments reveal - as gifts or as the cheapiest BR player. And some folks were shocked it didn't play PS2 games. Unlike most of the informed ones on here, a lot of folks will never look on the back of the box and see that, a lot of folks see "PLAYSTATION" and will buy it. And several of us have invested hundreds, if not thousands on our PS library and to get rid of it makes absolutely no sense, especially when those core values (BC) and the ability to play your older games made owning a PS2 a no-brainer. 

lots of consumers are stupid. at least twice a day when I was the manager of a co-op (gas station/grocery store where the people that join the membership become owners of the company and thus they end up getting a portion of the profits that is not put into growing and maintaining the company back) we would get people complaining that our fuel ruined their vehicle. (they put diesel in instead of gas or vice versa) The diesel pump is colored traffic sign yellow; has diesel written in big black letters on the hose, the handle, the ground. the pump body, the button you push, the lcd display, the sign on top, etc. There are information write ups on the pumps at eye level which detail why not to put diesel in a car that takes gas and vice versa, how to mix 2 stroke gas, etc.

Now, that make sense. But in the two Best Buys and Wal-Marts, and even K-Marts I frequented, even Gamestops, none of them had signs. The BB's had hills of PS3s, but no signs like that. 

Actually, if you put a small bit of diesel into a regular car/truck, it will help the fuel system. Not a tank, though, but a few gallons. 

What I don't understand is why it does use the same software emulation as the 80G??? I mean the cost to include that software must be next to nothing. Clearly, it so the 40g is less attractive and people purchase the 80g.

That's only an arguement for non-gamers in my opinion. Don't you ever go back and play your old systems. Hell as a PC gamer first you should get this, that's the biggest strength of PC, a back catalogue of cheap classic games that are of the highest quality.

I know at gamestops by me they had big signs up around X-mas to explain the 40 gig has no backwords compatability with PS2 games. 

 both the bestbuy and futureshop (same company) where I live have a sign in the middle of the 40 gb pile detailing that it can't play ps2 titles. 

i've been trying to hold my tongue for the longest but before i go to sleep id just like to point out that the 360 arcade is not backwards compatible either...