Look at how much Sony messed up with the PS3 and:
- they still recovered and put PS3 back in the fight with Wii and Xbox 360;
- it's the best selling console in 2012; it did very well since the slim model+price cut back in 2009, losing on holidays because its lack of a fad-effect like the Wii, and PS Move didn't succeed as a gimmick like Kinect did. But overall, it has been showing very strong sales, who in 2007-2008 would have guessed PS3 would be on top in 2012;
- It is neck-to-neck with Xbox 360 in total sales. Not even the Kinect boost and M$ doing everything right could push Xbox 360 too far ahead of PS3.
So if you ask me, yes, of course Sony can and will recover at least when it comes to its games division. If they do everything (or most things) right the next PlayStation can dominate again.
I still think the PS Vita will do very well, people are too impatient. It is not doomed, and so isn't Sony.
