People have to deal with workarounds and removing features to deal with the low space Uno's and Nano's have. As soon as one wishes to use any networking, GPS or anything else other than simple led blinking.
When they released AVR who were their target customers?
You'll have to admit that it will be increasingly difficult to make our board ourselves and we will have to content ourselves to assemble manufactured modules.
Regarding the ATmega328 IMHO it is still usable for many years. The real question is: "How long Atmel will maintain production lines etching 90nm".IMHO the answer will not be technical but financial.
And why not use LPC1114? [in DIP] Its all 32KB Flash 8KB SRAM
Best part its 1 USD. We expect at least at 1.6-1.8 USD when it will reach the local market.
it doesn't have the stuff like MORE FLASH MEMORY that we wanted an ARM to have
there's no growth path to another DIP chip that does have more flash...