"After sending out e-mails, instant messages, making a few phone calls, and doing a ton of reading through Sony's research and development charts, I found out that a 120GB model was in the works, but would not be a good choice considering the recent upgrade to the Xbox 360 of the same size -- not to mention the PS3's lifespan needs to incorporate a larger drive for future needs. A 200GB hard drive fits this model that Sony wants to offer.
A few other drives have been tested in between this 120 to 200GB range, but 200 seems to be the magic number. While that is thoughtful of Sony, it is also a little disappointing that they missed this when creating a console supposedly having a 10-year shelf life. The price point of the PS3 was in fact a large part of the reason. I am assuming that Sony is under the impression that we want to spend more. The U.S. market shows this with just under 10% of the PS3s being purchased at the lower price point."