Apparently it was released today, although I haven't heard anyone talking about it. 

http://www.ign.com/articles/2013/01/17/playstation-all-stars-battle-royale-dlc-release-date

I've heard talk about this DLC, but not necessarily anyone saying they would get it nor anyone actually saying when it was coming out.

I did, the free Kat and Emmet along with the $1.99 arena. Haven't played it yet though.

Yup! Both Fearless and Kat are great!! :D

How big is the download without the level? 

I hear the stage is only playable for free in ranked. That's a little silly as a lot of people play unranked. They should have just made you pay for the stage if you wish to have it permanently for offline play. This will only segregate the community as is the case with all fighters with post launch DLC.

Each character is 100k but that's because everyone has an install that is more like 825mb for V1.07. That's so people who don't have the character can still play against them.

gotta but me a PSN card!!!

When I get off from work. Emmett looks fun.

I'm getting it today if that's the case. I haven't played in a bit cause of school and my League of Legends addiction.