I hate to break it to you but new IPs are cancelled all the time, or completely altered into something else. Sometimes they end up being re-worked into new sequal/spin-offs of existing franchises. Sometimes, sequels to old franchises turn into a new IP (This has happened with Resident Evil on a number of occasions). That's just the nature of the business. Santa Monica is a big studio with multiple projects going on at once. If they cancel a project, especially one that was 3.5 years in development, it was for a good reason. Perhaps the director couldn't get things moving, perhaps he wasn't producing results, perhaps the game was horrible when the time came to present for a certain deadline. We know nothing except that it was a Sci-Fi game.
You also have to remember that this has an impact on their other projects. This could lead to more resources put into those other games turning out better or releasing faster. They've also confirmed that the assets created for the title are still stored (of course) and will probably be updated and used if they ever visit a sci-fi project again. Just because one of their games in development is probably a God of War game, doesn't mean that they're against new IPs. Additionally, we don't know what's in store for the new GoW. It may be a whole new take on the franchise. It's insane to completely disregard a game before we know anything about it.
I could go on, but plain and simple, we didn't gain or lose anything from the recent Santa Monica news. How good will their next game be is just as much of a mystery as it was before the news.