Announcing it this year and releasing it next year would completely kill the PS3 sales during the holiday season, just like it happened with Wii. Announcing it early next year and releasing it within the same year is a much better alternative, unless they plan to release it in time for holiday 2012, they're just killing the PS3 sales unnecessarily, because everyone is aware that PS4 is coming, just no one's sure when without an official announcement. Those who want, will wait to see what PS4 has to offer in comparison with the next xbox and Wii U before making a purchase.

It wouldn't kill the PS3's sales, time is what's going to do that.  This gen has gone on long enough, ~2 years longer than any other.  Besides, even if they announce it at E3, that's at least another full year of PS3 sales before the PS4 launches.  So, it'll be awhile before people decide to start getting a PS4 instead of a PS3, especially since by then the PS3 will be ~$149-199.  And then there's always the fact that Sony isn't going to give MS a full year head start and Nintendo a full 2 years.  That would just be suicide.

I beli3ve you!!

They're not giving anyone a head start, just give the announcement closer to the release date, rather than a year and a half in advance just for the sake of it. Especially if they put in BC.

Some posters in this thread that are non fans of Sony seem disgruntled that Sony isn't exiting the video game business yet.

Entire industry is declining, an official announcement would cause a further decline in sales, despite the lack of software on the Wii, it was still most likely would have sold decently during the holiday months had there not been the announcement of Wii U coming next year (Why the fuck they announced it a year and a half in advance is beyond me).

Why would you buy a PS3 when Sony says that PS4 is coming out next year? You might as well wait, unless of course they remove BC again. With no official announcement, you're left guessing, will it come out next year, or two? Should I buy it now or just wait for the inevitable price drop that will follow the release of its predecessor - can the wait justify inevitable savings.

It's basic human greed, quite a lot of people will wait to buy shit when it's considerably cheaper, with an announcement of succesor, you chop the legs from under the predecessor, because people now know better hardware is on the way 100%.

Wii was at a downward trend, but that drop 2010-2011 was even more abysmal than usual.

Yeah and you can also think - if they've waited 6 years before buying a console, would they mind waiting another 1.5 just to get it half as cheap along with the cheaper games as well?

I'd say, for interest sake they should announce it at this years E3, and we'll see how the sales will fare afterwards, chances are if Sony doesn't MS will announce their one, so there will be a console to watch. However, if a new xbox is announced and the PS4 isn't, and 360 performs worse than PS3 during the holiday season, will you see the point I am trying to make?

Because of lack of BC on PS3 except for one model(which was discontinued quickly), it didn't sell as well as it did before, the drop in price point also probably encouraged people to finally dish out for one.

Sweet... I am soooo ready to spend another $500 on a console just so I can play the EXACT SAME GAMES that I can enjoy now on PS360, just with a slightly higher resolution and better frame rate.

Not!

This magazine just called the Sony CEO a liar! How dare they!!!!!!