so i finally saw it. neo is definitly dead. he is the one who originally freed smith and its his opposite. since smith was no longer constrained by the matrix (cause neo freed him in the first one) he had to somehow become part of it again so the machines could delete him. neo was plugged in, and by smith taking neo, he therefore became part of the matrix again, which lead to his deletion by the machines. and since smith killed neo in the matrix, he died outside of it.
i think it was a great movie, but you really have to think about it to understand. i didnt like it that much when i walked out, but the more i thought about it the more i understood and the more i like it.
the special effects were AMAZING in this movie.
also for those of you wishing there were more scenes in the matrix (like actually plugged into the matrix), it would be pointless b.c everyone in the matrix was eventually turned into smiths.
