The firmware upgrade that enables 720p and the lower XDCAM HD formats is free. You need to buy a software key to enabled the SD recording and playback which is $4k. But the 700 is pretty full featured out of the box now. I don't think we'll ever see variable frame rates in that camera.
The Varicam is a great camera. I love the look of it and it is very full featured. I think the GPS data would be very well suited for shooting Nature, Documentary work in unfamiliar areas, and for Military needs.
Andy