Agreed. PS2 games are still being actively developed by a few companies and many retail outlets still sell brand-new copies. If Sony can pull off software BC (and do it properly) there will be one more incentive to move up to a PS3. The PS3's upscaler for PS2 games looks really nice on all of the PS2 games that I've played on my PS3. I get hi-res graphics with better compatibility than PCSX2.
Are you basing your experience off of the original 60gb ps3?