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Bandorr said:

“We have great respect for the ESA as an organization, but we do not feel the vision of E3 2020 is the right venue for what we are focused on this year,” a spokesperson told"

So rumor has it Sony and ESA are not getting along. Whatever Sony wanted to do was not in line with what the ESA wanted.

 Yeah, this is known. I recall Shawn Layden back in 2017 (PSX)  discontent with how the ESA were handling E3.