Managing disk space on MacBook Air

Hi all and happy new year!
I recently gave my wife a new MacBook Air to replace her aging iBook. Great idea, right? The only thing I didn't count on was how much space she had taken up on the old computer with iTunes and iPhoto libaries.
Altogether, the two libraries take up nearly 90gb (40gb iTunes, 47gb iPhoto) - which is a bit inconvenient when the Air only has a 128gb flash drive.
So my questions are for other MacBook Air users - how do you deal with the space limitations when trying to keep your photo/video/music libraries?
Is the Air just not really intended for this type of use and we should cut our losses and get a MacBook Pro instead?
So far, we're attempting to just upload all the photos to Flickr, but I am not sure how convenient this will be in the long term.
Thoughts and advice are welcome!
cheers...

Thanks for the idea - we live in Moscow, Russia, where there are no Apple stores, only 'authorized resellers', so not sure what their returns policy is.
Regardless, if we had the 256gb drive, it seems like we would still run up against the storage issue sooner or later - just wondering how people deal with this. External drives? Cloud storage? Or maybe some idea why 11k photographs takes up nearly 50gb!

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