I first, I thought this was consolidating the line to a single SKU, and letting you add the drive yourself for a small premium. Instead, this looks like this is a new model with a reworking interior to save a bit on cost, and heat/power.

The one good thing, is that now every PS5 is a "Physical Edition." It is also way more likely in the decades to come you can get a 3rd party drive, and hack it to work. Without the size or soldiering being an issue, it is more likely we can see 3rd party replacements.