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From WSJ:

Speaking to a small group of reporters, Mr. Kodera said the network-services side of PlayStation is changing the way Sony thinks about product introductions.

“We need to depart from the traditional way of looking at the console life cycle,” he said. “We’re no longer in a time when you can think just about the console or just about the network like they’re two different things.”

What I take from Kodera's quote is that PSN is too big to be ignored and for the PS5 to not have BC. Resetting all the way from 0 won't be a good idea considering how important digital sales and subscriptions have become.