I've used 1mb on psn before. (diff isp)
And Ive seen 2mb in action before. (blink by someone)
I'm not criticising the 2mb lol. YES person can play mostly lag free on 2mb unless the game chooses them as host. Then game crashes/migrates host.
The question of waiting an hour for an 800mb file to download is up to the person.
If you CAN wait that long, well thats good
.
Otherwise with the filesizes of things ever so increasing. the path to digital download only. HD content. Game updates, firmware updates.
DLC downloads. Demos. 1gb, 2gb, 3gb. etc.
You'll want to upgrade eventually.
Simply saying go as high as you can if you can afford it.
If you can't, by all means go ahead with 2mb. Its not the fastest and the best. but it Works.