Unfortunately, you are the second uneducated consumer I have corrected in the last hour.  The $100 upgrade pack includes the 60GB HDD, ethernet cable, headset, and 3 months of XBL.  The arcade package includes Lego Indiana Jones and Kung Fu Panda as well.  The SD thing is true, but every PS3 is also SD out of the box and requires an HDMI cable.  That so called "article" was very flawed and was it really posted in October?  AFTER the 360 started ramping up sales and demolishing the PS3?  What an idiot!

The highlighted part is actually true, Leo-J.  Almost every PS3 game requires some form of installation.  It takes a lot of the "awe" factor out of buying a new game when you take it out and have to sit and wait a few more minutes to half an hour for it to install.  PC games are meant to be this way, console games are not. (and before anyone says "360 games can install too!", that is an OPTIONAL element to improve load times and decrease noise/wear and tear on the DVD drive.  When a 360 game is installed it runs FULLY off the HDD and not off the disc at all)

Wow, I guess I just assumed that all the TV commercials were the Arcade model... looks like in reality, though, the arcade model just gets the arcade games plus some Sega tennis game or something.  That's a darn shame!