Yes, I said it prior to the PS4's reveal and I'd say it again. Killzone doesn't quite fill out a strong enough niche for it to be the Killer app sony want it to be. I love Sci-fi, but if Guerilla wanted to go in that direction they should have either gone all the way: laser guns, interesting weapons, or approached it from a standpoint other then military FPS. Maybe made it open world (or a collection medium size sandbox's) and more exploration focused. Either way, they would have been moving away from what killzone was.
Shadow Fall will sell up to 3m easily, buts thats because it has the fortune of launch (see the original resistance's sales). As a franchise it could definitely continue to sustain itself but I think it would be a waste of guerilla's potential.
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