You know B. you make a compelling case for the PS3, maybe I should stop, smell the coffee and spring for a PS3, I'm of the camp that the PS3 is "just" a game console, maybe I should reasses my prejudice.
I felt the same way (I was looking forward to the new Sony 550, but didn't want to wait until Oct/Nov time frame) so after some research on several forums I took the plunge and bought a PS3.
I am extremely happy I did. Blu-ray player, DVD player, CD player, SACD player, gaming console, internet browsing capabilities (with built in WiFi at no additional cost... take that MS). This thing does it all and does it well. It outperforms my Denon DVD-1930CI (which I bought a couple of years ago to bridge the gap until the format wars were decided) in DVD playback (both audio & video).
Consider this, if the trend should go the way of online content downloads, you're covered by replacing the stock 40/80GB hard drive with a higher capacity notebook HD
(I put a WD Scorpio 320GB SATA drive in my PS3 before I even connected it to my AV system). Talk about future proof.
I have only owned my PS3 for 7 weeks or so. And, in that time Sony has released 2 or 3 firmware updates for it improving functionality and adding features. Yes, you do sacrifice some connectivity, but other than that the overall value of the PS3 practically makes it a no brainer!