The main applications for solid state storage is not for higher performance, but for significantly better durability. Most SSD drives are not multi GB storage devices in servers or other such environments where you can simply slap more RAM in the system and achieve the same effect. The main uses for SSD drives are in environments where standard HD's simply will not operate, such as high vibration, high alititude, temperature extremes or pressure extremes. They're mostly used in military and heavy industry for this reason, though simple examples in the consumer world are also present. HD based MP3 players are fine for the majority of users, but you would never want to run with one due to the constant shocks and vibrations the drive would have to absorb, so flash based players are the alternative which don't suffer from such problems.
It's also a myth that solid state drives are blazingly fast. As always, it depends on the drive and the application. Access time is usually significantly faster for solid state drives, but sustained throughput is a different issue. The majority of flash based memory is slow even by 7200RPM drive standards. We're talking single digit read speads. Which is why you will often see SSD drives using antiquated interfaces (Wide SCSI, Ulta ATA-33). Something you would not want to be running for an everyday boot drive as it would be significantly slower than a standard HD for simple tasks like applications loading or game loading or anything that requires the streaming of multiple MB's. The "cheap" (sub $1000) SSD drives you will see, are usually hack jobs (volatile RAM stuck on a PCI card that mimics a HD), or slow flash based.