Was this kojima interview posted?
http://www.gamepro.com/news.cfm?article_id=94010
http://www.gamepro.com/news.cfm?article_id=94010
GP: Resistance: Fall of Man uses 22 GB [edit: recently changed to 16 GB] of Blu-ray storage. Is that necessary for next-gen development? Is that massive storage something you'll need to make MGS4?
Kojima: Right away. We'll need more.
GP: We recently spoke with Sony's Phil Harrison, who told us that he thinks PS3 games will soon use 50 GB. Do you agree with that prediction?
Kojima: Yes, I do. It's high-def, and just to make it high-def, the data requirements are huge.
Back in the days when I was working on 8-bit, 1 MB ROMs came out and I thought, "wow, great!" But it wasn't enough. When the CD-ROM came out, we thought we had so much space. But when we started to add sound, there was a lack of storage already. Even Blu-ray, I don't even feel that it expanded data so much. With cinematic, the space fills up right away. You may hear Blu-ray is huge, gigantic, 20 GB or so, but that's not really that big to us. One basic [gameplay] frame with HD and 5.1 takes up so much space that the capacity will become too small in no time. If we maintain the same level of graphics and sound as the PS2, then Blu-ray is spacious. But that's not the case.
GP: Is that intimidating for a developer to have to work with so much storage? Do you worry about being buried under a mountain of data?
Kojima: I don't care so much about the space. In the past, we spent so much time creating programs for compressing. But now, we don't have to do that so much. So in that sense, it's gotten a little easier.
GP: If you ever made an Xbox 360, would you find it difficult to work with because it uses a standard DVD?
Kojima: It's not necessarily challenging or difficult, it's just a matter of how we do it. It might be a couple of discs, or possibly a new form of dual-layer.