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If sony does go ahead and make a lower cost PS4, then will the PS3 even be relevant?

I would assume that the PS3 will be priced down to $250 when the PS4 is launched at around $400, So yes it will be a lot harder for the PS3 to survive ten years, as opposed to the PS2.

But all sony has to do is decrease their production way down. The ten year plan may relate more towards support for 10 years, as opposed to big sales. 10 years from the PS3 launch, I could easily see PS3 software still being created. Maybe then (by the time the PS4 is out) Japanese developers will get their shit together for PS3 development.
Always 1 generation behind.

stores will still have the PS3 in very low stock. Once the PS2 is no longer supported, there will be a year or two, and then the PS3 will take the place of the PS2... when the PS4 is out.

It is the ultimate example of a two tiered approach.

So I both agree and disagree with you



̶3̶R̶D̶   2ND! Place has never been so sweet.