I have to say I am thrilled that WotC is offering a limited-run reprint of the AD&D core rulebooks. I've got my set already reserved at the Fantasy Shop. Those guys are great.
While I did manage to snag the AD&D Monster Manual, Monster Manual II, and Fiend Folio at their Used Gaming Auction last weekend, I was outbid for the Players Handbook and DM Guide. I'm definitely looking forward to getting brand spanking new copies of these core books.
What does this mean for the OSR? I'm not sure. I think a lot of these copies will be snatched up quickly by folks already involved in old-school gaming. The price point is too high to lure in new players, and I don't think they'll be sitting on the shelves for very long at all. Perhaps all the talk of a new edition will sell some of these to folks who haven't played since the 80s, but who knows?
I hope they sell out quick. I hope WotC makes a bunch of money to share with the Gygax Memorial Fund. If WotC comes out ahead on this one, I bet we'll see more of the old material re-released pretty quickly. Hey, if there's a market for it (and the fact that the OSR exists is proof of that), some penny-pincher at Hasbro will figure out a way to make some money off all those old files taking up space on their hard drives. The market for these books is certainly driven by more than nostalgia. These are products that will see use at a lot of game tables.
My money's on a big fat Ravenloft book next. A hardbound reprint of several of those modules would move quickly. I'd plop down $50 or $60 in a heartbeat.