By the end of 2007 the PS2 will be completely dead in Japan and the rest of the world will abandon the PS2 by the end of 2008. Sony could have (possibly) kept the PS2 alive for a little longer by fully supporting the platform but eventually people will be looking for something new.
The problem with the PS3 is not that it was released too early but was that Sony focused on developing the "Greatest Hardware" with little thought towards whether there was benefit; the PS3 is the perfect example of feature creep and gold plated requirements and that is what is killing it.







