I have the 40gb PS3 which gave 36gb of space for games, so 4 gb for system files. This might be the same on the 12gb system I don't know. You may only have 8gb for games or it may be 16gb in total with 12gb available for games.
Either way that should be enough for about 2 games purchased on disk, but would not really be any good for downloading games of the PS store, because of the way it works you need double the space, eg if a game is 7gb on the store you need 14gb of space, 7gb to download it and then 7gb to install it, you get one of those back once it is installed but you need it in the first place.
I just upgraded to 160gb by buying a 2nd hand drive off ebay for £14, so it is not an expensive thing to do if you get frustrated with lack of space.
#9255540, By snowbored The All New Bargains Thread
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