If it were me, I would probably go ahead and start looking for my new Prius now. There will always be something better over the horizon, even in 2008. Not only that but who knows how much buzz there will be around the new model, driving the price up to ridiculous levels. It could be another year after its introduction before it really makes any sense to buy it. Besides, the current model is pretty darned good at sipping fuel, especially if you learn how to milk HSD for all it's worth.