Hmm...
Let's say this will be relatively cheap to produce and sell, and will be available in < 5 years to consumers (yes, consumers), how are the people/companies involved going to screw this one up? Let's not forget the media industries: R*AA and M*AA. How are they going to wreck it so that it won't be available to consumers (do you think they'll allow you to have a big "pirate chest" to store all of the things you "stole"; to them everyone is pirate, remember?)?
Anyone remember Fluorescent Multilayer Disc? Yep, they had a storage media that easily scales to Terabytes and rewritable to begin with (as opposed to traditional optical media w/c are readonly first, then made rewritable); not to mention very scratch-resistant. What happened? On one of their demo, it was revealed that they weren't using their tech (instead using, I think, a harddrive) for playback. It was a scandal. Did it mean the tech didn't work? No. But they faced financial problems due to it, still. Where is the tech now? On market, though NOT on consumer market. Such a waste of tech; out of reach of the consumer.
*Sigh*