According to Steinberg (SCEA VP of Product Marketing)

"That's the secret weapon, that's what goes unreported. It's this 41 million universe of PS2 owners that will be targeted very, very soon to upgrade to a PS3 Blu-ray machine," Steinberg told Next Gen.

How soon? Price cut? Full Software BC? How the heck do they expect to "target" those 41M Ps2 users in the NA?

PS: 41M in NA? VGC has PS2 at 47.4M...

EDIT: Link 

Possible official trade-in deal? Hopefully with full software BC to 40gb systems through a free firmware update.

no i don't believe that. Wii has taken some of those users and has changed games. Also Wii has taken a lot games from PS3. You fail and Steinberg

^they are going to stop service and production of all ps2 models...as well as games being produced

well I assume this is what they planned form the beginning.

It would have happened already.

Remember the NES -> SNES? SNES -> N64? Mega Drive -> SAT?

I don't. It didn't happen.

No BC + Better competition (Wii) = No transitioning.

They can "target" all they like but that doesn't mean they will have much success ...

Over 75% of PS2 purchases were made for under $200, and it is highly likely that a high percentage of remaining PS2 owners who have not bought into the current generation yet do not have a HD-TV to take advantage of the Blu-Ray capabilities anyways. What this means is that it will still be too expensive for awhile (regardless of what they do to lower the price) and the 'value' argument doesn't work on most of the people they're targeting.

Trade-in program? Count me in! I am ready to trade in my PS2 for a second PS3.

A lot of the ps2 owners are going to the ps3, but some are going to the wii and 360 also.

 Stopping production of new PS2s won't make people who already own one buy a PS3 :p.