If there is no PS2 BC at all on the 40gigs, it'll pretty much sign the death-knell of hardware BC moving forwards. And really, while ppl bitch about it there's really no one to blame if next gen there is no BC at all - the market has pretty soundly proclaimed a collective indifference to it as a feature. Not to mention we've shown a funny willingness to rebuy old games we already own digitally to play on new systems. I know I have bought at least 2 games I already own for PSX over PSN (I know for a fact my C:SotN disc is still playable), and the lack of any noticeable impact to MS over the 360s lack of meaningful BC was a pretty broad indicator.