I for one am glad to get another system that won't sound like a fucking jet engine after a few months of usage. Both the 360 and original PS3 were horrible in regards to the noise levels. I couldn't play Dead Space 1 for months before ripping that shit 360 open and mod it with an 18 cm low RPM fan to get rid of the jet engine sound.
My friends PS3 sounds like a vacuum cleaner even when watching a bluray.
And don't get me started on the 360 disc drive sound level. Good thing I can install games on the 250 GB HDD instead of using that POS, otherwise i would've thrown it out long ago.
The only thing that worries me is that the WiiU drive might be as obnoxiously loud as the one in the Wii (still miles better then that horrible 360 drive) but it was still annoying at times (especially when playing COD online).
I agree though that they should've made the box about 20 or 40% bigger and increase the power substantially. This focus on small boxes reminds me a bit about how the engineers at Sony basically run the place, only that they have a power first, economics later philosophy, while here it's the complete opposite.
What kind of capacity could you get a 3DS or Vita sized card up to? 2GB I thought was 3DS sized. Vita I assume is quite a bit more.
Obviously it would get expensive if games were around the 20GB mark. But it would also be significantly faster than BD ROM wouldn't it?
It'd be interesting to see what kind of console size/game card size and prices could be wrought out of a system that used such a medium.
Wii U could have been half the size of a Gamecube for all we know.
So far the biggest 3DS cart released are 4GB (RER, MGS3D)
Theoretically that's the current cap, but there is really nothing beside costs to limit the size.
And yeah SSD memory is a shitload faster than any optical drive. Furthermore, like you said, it would allow for completely new paradigms to console design as the drive would merely take up a fraction of the space, creating zero heat, zero noise and allow for a much more compact hardware design.
Carts right now are not feasible to use for larger than 8 GB games. They are still considerably more expensive than optical media.