64GB is nothing these days. 256GB is barely more than nothing. As cheap as hard drives and optical discs keep getting, we keep finding ways to fill lots of them with data!
This isn't a real notebook -- more like a mobile internet device.
If that LCD screen supported touch, you could call this an iPad with a keyboard...
Just as an IBM Selectric typewriter would cost a small fortune to manufacture today, hard drives and optical drives will become prohibitively expensive to manufacture before very long.
As more and more mechanical devices are replaced by other means, the ability to create and manufacture economical mechanical devices and systems will atrophy as well. Eventually most of today's mechanical approaches will simply become economically unfeasible.
While it's true that 64Gb is small by todays standards, it's also true that most people buying this want an iPad that can do flash and has a keyboard. In other words, it trendy, cool, and great for social networking, websurfing, and a bit of picture and moving watching. But I'm sure that Apple's vision is that everyone will start downloading movies from the iTunes website (at the cost of about 0.5gB/movie) so the need for drives sort of goes away. As I mentioned in another post, I just saw an HP with a bluray drive, 500gb hd, 4gb memory, and an AMD dual core running at 2.3GHz for $599! Of course, it has a 1600X1080 17.3 inch, LED backlit screen.
The real question is whether the flash memory is directly accessed or if it is forced to pretend to be a spinning disk. The SATA interface and the traditional file system are anachronisms for flash memory. I don't particularly like Apple's walled garden approach, but as a vertical integrator they could take the lead in terms of architectural changes like that. I will be curious to see a teardown...