In case you didn't know, Android 2.2 allows installing applications to SD cards (or more exactly, moving them after installation on SD cards). But this is just a theory, as there are applications which doesn't allow moving themselves to the SD card. Actually, there are only a few applications which have this possibility. I mean, I have about 90 applications and I was able to move only 2 of them on the SD card.
The Nexus has 196 MB internal storage memory, and I have free only 13 of them. I know that I have a game which occupies pretty much of that memory (about 25 MB), but because I like it I don't want to delete it (and I can't move it to SD card). Of course, if I need more storage for the phone, I will remove it (and other applications if needed).
Google didn't bring something which helps much here (with 2.2 update). I think that they must now make pressure on developers, to design and update their applications with supportability for SD cards.