Maybe Sony decided to appeal to more new reader buyers with a less costly product? Maybe they were even hoping to rope in a few Kindle owners? Or, maybe they assumed that those who already have a 650 won't upgrade anyway? After all, the 650 is a pretty good device already and I'm one of those who doesn't see a need for wifi.
I, myself, don't see anything I want to trade my 650 in for. Well, except maybe for the new clamshell tablet?
O