Plenty already said here, but ....
I remember earlier rumors speculating that whenever the new Macbook Pro series was released, Apple wouldn't initially have a 17" version to offer (primarily because of limitations getting enough of a yield of the retina displays in that size).
So from that perspective, it'd be easy for me to see why someone might have gotten some inside info from the production lines, saying they weren't doing anything with a 17" size, and assumed that meant it was being discontinued.
All of this *may* just mean a 17" version won't be ready for at least a few months after the 13" and 15" models are released.
I know the older Macbook Pro 17" models were slow sellers though. When I bought mine a couple years ago, I think the salesperson mentioned I was the only customer who bought one that day -- and I came in just before close. (Not too good a sign, as much foot traffic as that store sees!)
I'll be pretty disappointed if they quit making the 17", but I can understand it. I went from a 17" Powerbook G4 to a 15" Macbook Pro and then decided I wanted to go back to a 17" again with my last upgrade. Like some of the other people here, I just like having the extra screen real-estate. But the 15" wasn't bad either. I usually attach a larger external monitor and use a wireless keyboard and mouse with it at home, on a desk, anyway.
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Obviously, many others agree with you -- but I can't say that I do.
The 17" was pretty much the thinnest and lightest-weight in its class. (Have you seen the "bricks" HP put out with 17" displays, by comparison!?)
Many of the people who say they need something smaller turn around and stuff a big laptop carrying bag full of accessories, making their whole argument seem ridiculous.
There's something to be said for a super-portable laptop -- but I think if that's what you're after, you're probably among those who'd benefit most from something like the 11" or 13" Air, or 13" Macbook Pro. By the time you're using a 15", I just don't think a couple more inches (same thickness!) makes it "too bulky".
My single biggest issue with the Macbook Pro 17" though? Too much wasted space in the keyboard area. Lenovo got it right when they started integrating numeric keypads to the right of the keyboard on their 17" models. That would probably also help eliminate a visual cue that it's "so big".
I definitely think the 17" is too bulky for a portable machine. It makes a great 'desktop' laptop...but overall, I'd rather have a 15" and an external monitor when needed.
I found the 17" was just too wide, typing on it was a pain and it just seems too large. 15" IMO seems to be the right size.
A bunch of the editors here have laptops and all have 15"....the one person that has a 17" is our DVD person...and he uses it as his main machine.