I think what Squilliam was saying was based on the fact that the PS4 will not be out by 2012 alongside the next Xbox and next Wii. Mostly because they want the PS3 to be out longer (aka 10 year plan). What he is saying that once the new consoles come out, the shelf space will shift to Wii 2, XboxNext, Wii, and Xbox 360 in the US. The PS3 will possibly share a small bit for another year, but the moment the PS4 comes out, the PS3's space will disappear and kill the 10 year plan. Either that of they won't release a PS4 and the PS3 will disappear due to dated tech.
The reality is that all the Sony fanboys want a Sony price cut to $300, but with more losses being reported by Sony any day now of $1.5 Billion USD, they obviously cannot afford to start taking another $100-125 loss per console sold.
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