Yeah, I was a bit disappointed by this as well. I would be much more tempted to get a 40 GB. It seems trivial but at 3/4" thick, the 60 GB iPod is significantly thicker. It doesn't seem like much on paper, but when you hold it in your hand it has a different feel. I'm also holding off because I'd also have to buy a new dock and case and I'm not ready to drop $500 for a thicker iPod with very few new features (photos and color screen). I'm thinking the next revision will be a more feature-rich update and my current iPod will work just fine for now.
As for managing your iPod when you have about 2000 songs too many I would recommend syncing by playlist rather than song and then use one or more smart playlists to keep your song count limited. I have found this to be quite managable so far.
As for my 'tar - I got it last week just before I went out of town on vacation for a long weekend so I haven't been posting much. I lifted the 'tar from Microsoft's Photodraw's clipart. I really liked it and use it on my webpage and thought it would make a good 'tar here.