CDNN got a crapload of them and is selling them at stupid-low prices. That would lead me to believe that Taurus did indeed discontinue them. If Taurus had made them in a 6-inch barrel and CDNN were selling those for cheap dough, I'd already own one.
I will agree that I have to give Taurus credit for having the guts to market all kinds of ideas. That's something we just don't see out of most of the gun makers. (as a sidebar, did the Raging Thirty, .30 Carbine double action revolver ever actually hit the market? I wanted one!)
Problem is, their attention to detail and finishing and the use of quality parts and workmanship is seriously lacking. This is not the thread to debate that, but if you disagree with me (which is fine), I will assume that you've simply got some love for them and you are willing to overlook the facts. (that's fine as well)
For my buck, I like the .327 Federal Magnum... but be it Taurus, S&W, Ruger or even if the ghost of Sam Colt tooled up a Python chambered in .327 Federal Magnum, I think it's a bad idea in a two-inch barrel.
It's a high pressure round that gets neutered severely when the barrel is clipped. Just comparing the velocities from the longer-than-three inch SP-101 to the 5.5" Blackhawk shows you how quickly it loses steam when it doesn't have time to spool up in a longer tube.
A two-inch .327 revolver is a huge compromise for the round... which is obviously already a compromise right from the get-go.
Attention Brass rats and other reloaders: I really need .327 Federal Magnum brass, no lot size too small. Tell me what caliber you need and I'll see what I have to swap. PM me and we'll discuss.