Magic and the Hero is mighty small -- other than the entirely revamped Sense UI, the Hero's 5 megapixel camera is about the only thing the newer model has over the original, physical design notwithstanding. That gap is on the fast track to getting even smaller, too, now that HTC has issued a press release detailing a Sense upgrade for the Magic (assuming you haven't already nabbed it off xda-developers, that is). It looks like current owners will get hooked up some time in October for NT$1,500, which works out to about $46; what we don't know, though, is which Magics will be eligible for the upgrade. Just like HTC's WinMo wares, we're guessing that subsidized units are going to be at the mercy of their carriers, which means that T-Mobile, Rogers, and Vodafone customers (among others) should take a somewhat pessimistic view of this announcement until they've heard otherwise. Hey, we're just looking out for your mental health here.
[Thanks, Steve G.]
Update: Depending on how you interpret the press release, HTC could be saying that the upgrade is valued at NT$1,500, but will actually be free. We're working to get a clarification.
Update 2: Alright, we've gotten the skinny on this straight from HTC. The update will be free -- thing is, it's only coming to Taiwan's Chunghwa so far. The fate of Magics on other carriers remains unknown, but we do know that so-called "with Google" versions will definitely be left out (that includes you, myTouch 3G).