Could they have made it ANY smaller???

[BluYrs]

This slowly comes down to the same problem which mobile phones faced a while ago. They could make even smaller devices, but doing so it's going to be difficult to sustain the usability of the devices. I mean, it's increasingly difficult to find a place to fit even a simple "play" button. They could use voice commands, but most people (myself included) still want buttons and switches.

I still use my SE K550i with a 1GB memory card as mp3 player.