CNET News.com reports: "SanDisk wants to replace the hard drive in notebooks with flash memory, a swap that it says will make thin laptops faster and more reliable. ... The switch, however, will cost you a few hundred dollars more. ... SanDisk on Thursday released a 32GB drive for commercial notebooks that stores information on flash memory chips rather than the magnetic platters that make up a traditional hard drive. The drive is available only to manufacturers, and the company declined to give out pricing or identify any notebook makers that will adopt it, but SanDisk said notebooks sporting the drive could come out in the first half of 2007."
This will be the most important technological change for laptops and other portable computing devices in a long time. I imagine it might take a few years to go mainstream, but when it does prices should drop.