An update on my decision:
For now, I've decided to go with the 40GB PS3...and I couldn't be happier. I would recommend this unit to anyone, even if you think you aren't a gamer as it really displays the full potential of an HDTV. My PS3 bundle came with GT5 Prologue which is a mini version of the full Gran Turismo 5. The photo-realistic graphics and sound are simply amazing.
Of course, in addition to the gaming fuctionality there's the blu-ray player and although I've only looked at Planet Earth in BR so far, it is again very impressive.
An added bonus which I didn't even know you could do until I bought it, is that hooking your PS3 up to your network either by wired or wireless connection will allow you to easily access all of your digital media stored on a PC on that network (or I suppose you could wirelessly connect to your neighbors network
if they allow you to) So from your PS3 you can watch your home movies, listen to your mp3s, view your digital photos in a very nice slide show format, etc. Considering that I was going to spend >$200 just for an accessory for my Denon receiver to allow me to only listen to my music this way, it just adds to the value that the PS3 brings.
And to the point about the PS3 fan potentially being noisy, I haven't experienced that.
Even if there are audio shortcomings on the PS3 (and I'm not sure if there are) and I end up buying a dedicated BR player at some point, I won't regret my decision one bit.
I have a question about the PS3 connection to the receiver which I'll post in a new thread.
