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I wouldn't have minded a 60gb PS3. It was a great deal. It was the "perfect balance" in between the 40gb and the 80gb (at least, for me it was).
But yeah, Sony are making a mistake. I mean I understand their business strategy and the amount of money they are losing by producing the 60/80GB versions but they need to continue to produce at least the 80GB if they want to increase their sales. 40GB PS3's alone won't help Sony in the long run.