No, I don't think Blue Ray will make or brake the PS3. It does matter what format consoles use. If it did not then console makers would not spend as much time and development in determining which to use. Keep in mind that you have game developers who are stakeholders as well. The format matters to them and then it filters down to the consumer. For Sony to say "Hey! Look what else I can do!" is bold since it is driving the production cost of the console up. That cuts into profits and can directly affect the success of the PS3. This is more than features, its business politics. I give Sony credit for being aggressive but I question how much this will hurt over help.