Good to see MS keeping ontop of their game.
People shouldnt get too carried away with a HDD feature, firstly it will only speed up loading game time by 2-5 seconds on average. Well im sure some dodgy geezers here had Xbox 1 with a big mofo drive and copied games on that which loaded from HDD and from what i witnessed the loading times were approx in this amount of time faster, so no real big deal apart from cutting down wear n tear and DVD-ROM noise.
The other problem this brings is if these are full ISO transfers then your looking at anything from 2-8+ gig or so with an average say of 5 gig per game.
Do the math on even thier new announced 60GB models with all that game installing, new demos, video downloads, music etc space is soon going to be used up, even on the Elite 120 systems.
If anything its weird that Sony are continuing to push more as the leading system for general multimedia entertainment, including acting better as a HTPC device with their upcoming TV services including PSP connectivity and their much easier no hassle HDD upgrading the system still has a lot of its own advantages.
Great competition between the rival companies. Were MS usually win over Sony all the time is sticking to their target dates. The PS3 itself was a badly delayed system never mind this Home caper but still it looks like 2009 is going to continue to be an amazing console year.