I think the bigger news was that Jaffe is leaving Sony's internal studios at Santa Monica to form his own studio with Former Incognito head Scott Campbell. Their new studio will be based out of Utah and called "Eat, Sleep, Play Studios."
http://www.gamasutra.com/php-bin/news_index.php?story=14867
They have an agreement to do 3 games for Sony. Twisted Metal is not considered part of the deal. It's a port.
Curious why Sony didn't get them to port Twisted Metal to the PS3 ...
Threads of Interest:
The Movie Thread: http://www.vgchartz.com/forum/thread.php?id=6880
The Crow Eating Thread: http://www.vgchartz.com/forum/thread.php?start=0&id=3886
The Betting Thread: http://www.vgchartz.com/forum/thread.php?start=0&id=7104
Custom GIFs Thread: http://www.vgchartz.com/forum/thread.php?id=18963
The Greatest Game Ever Conceived On Any Platform
Tag: "I have tasted Obi-Wan's bitter tears"