I don't know about most games, but If you ask me about Twisted Metal, I think they delayed it for two reasons.

1. To avoid the competition. Honestly, with all the 1st AND 2nd party games releasing this holiday, the game would have flew under the radar and possibly been a failure for the developers. With so many huge, hyped games releasing this fall, an underhyped game liked this wouldn't have been noticed by many. You say they've been developing the game for a long time. If that's true, then I'm sure they're concerned with making sure the game makes enough profit to cover the development cost.
2. To finish the game. I've seen a few videos and pics so far, and I must say, it seems a little bare. It looks like it lacks 'something'. I don't know what it is, but I really think they're working on getting the game complete.

I could be wrong though. Like I said, I'm just speculating. I don't know for sure.

lol.. I remember I made a thread at the start of the year about delayed titles...this is the second or the third title that's been delayed/cancelled this whole year that's exclusive to the PS3. Not a bad record honestly.

I think that ratchet game might get delayed too, I am not sure though.

really, I thought this was the first PS3 exclusive delayed this year.

yeah the other guys have been releasing so much in comparison...

Well...last guardian was kinda delayed and one title was cancelled but I can't remember which one it was, and sorcery. None of them had a release date though....but last guardian was said to be releasing 2011.

What's that got to do with anything?

WKC 2 was delayed in the U.S., but that's really the only game I can think of that had a concrete release date. And it was only delayed until September.

OT: I think this is good for Twisted Metal. It didn't seem all there to me in terms of gameplay, judging by the gameplay videos that were released. 

Demon's Souls and Skyrim will keep me content. Then in Early 2012 i'll have Twisted Metal and Dragon's Dogma (and PS Vita!).

Sort of expected. TM would be forgotten among many of the first and third party offerings released in the holidays. It's a smart move by Eat Sleep Play IMO.

With this delay I hope they can improve on the game and it's hype. Cause this game looks really stunning but as soon as they announced the release date I knew it would die. Anyways all for the good!