http://www.physorg.com/news11502.html
Although it is fine to embed a large storage media in a smart phone...it will for sure provide ample space for video, music, photo etc, even you may use it like a USB drive for your PC to backup files, but to enjoy multimedia, every PC manufacturer should try to enlarge the LCD screen where the multimedia would be played, at least a 3.5" QVGA like most PDA.
http://www.electronicsinfoline.com