If Forza is not a AAA game due to sales then Fifa also does not fit in that category.

Easy. A AAA game has something like a huge budget with high production values, is part of a huge franchise, made by a high-profile developer or any combination of the 3.

Twisted Metal started as a PSN multiplayer game and they tacked-on the single-player to sell it as a full retail title.
PSABR is a new IP by an unproven developer. Low budget, low production values.
Starhawk probably has the highest production value about out of all 3 of these games, it doesn't have any brand name recognition or hype though so it flopped.(Still not AAA level) 

A AAA title is instantly recognizable and Forza Horizon is one of them. It has high production values, brand name recognition and a talented studio backing up the development. It even has good reviews. It is undoubedly a AAA title, spinoff or not.

How do you know Forza Horizon had a bigger budget than the other Sony games mentioned? It wasn't made from scratch, its using the Forza 4 engine. I saw some development video for that game and apparently Playground Games basically did all the work. Turn 10 was just watching over it. Kinda like 343 Studios getting credit for Halo Anniversary, but Saber Interactive really did all the work. Certain Affinity handled the multiplayer maps.

Homefront was developed by a new studio, was a new IP, and was hyped as a Triple A project. I'm thinking anything we anticipate to be a Triple A game is a Triple A game. Unless we deem it shitty, then the title is take away.

Anyhow, this is a pointless discussion. I already answered your original question. They keep making Forza games because they keep doing pretty well. Its low risk as each release manages to sell a few million.

How do you know if a movie is a blockbuster? Yes, box office numbers are important but so are the actors, the script and director. Go see a movie on the Syfy channel and you'll see the difference.

It's the same for games. AAA games are instantly recognizable. Budget isn't the only thing that makes Forza AAA. It has high production values and it is an overall high quality game. Reviews even agree that it is a good game as it its in the mid 80s.

Homefront is a AAA title that failed to sell well but apprently well enough to warrant a sequel. The game is AAA, or at the very least very close to it. 

So no, PSABR, Twisted Metal and LBP Karting aren't AAA titles. Not even close. Just because a game flops, it doesnt' mean it isn't AAA. Haze and Heavenly Sword are 2 examples of this. I don't know how much simpler I can put this for you. 

LOL @ the idea that Forza Horizon is a "AAA" game but Twisted Metal or PS All-Stars are not.

block·bust·er  

1. A thing of great power or size, in particular.
2. A movie, book, or other product that is a great commercial success.

According to that a blockbuster is just success. So maybe a blockbuster and AAA game aren't the same thing.

Homefront underwhelmed in sales and critical reception. It turned out to be a low quality game and short game. Yet you still consider it Triple A? The line clearly gets blurry.

You could probably make it more simple for me. Since you haven't really proved anything.

PS All Stars had triple A publicity but that's about it. Twisted Metal is closer to Horizon though. I'd say those two are comparable.

I am not trying to be rude or something but I have read this nonsense way too much lately.

When MS joined this industry, the biggest threat was that they will buy their way in. But MS built their business much more sustainably than that.
According to gaming forums MS should buy Bioware, Remedy, Epic, TakeTwo and maybe even Activision while they are at it. Those are huge investments that have to be calculated carefully. Sure, MS has the money to do so, but they did not become this big by buying companies that did not provide any roi. That has happenend before, but was not made by intentionally.

I'd hope Alan Wake 2 would be on PC.
or at least get a port later on since I really enjoyed AW1 on the PC.

Wow, you guys can argue about AAA for no apparent reason. Jeez. Nobody has the definition of the AAA, because there is none! Simple as that. Is just a term, made by the publishers, to advertise their games.

Also Sony didn't released a single 1st party game besides the usual MLB: the Show by SCE San Diego.

In 2012 they pushed the PSN: 
Datura by Plastic Studios (2nd game after Linger in Shadows)
Yourney by Thatgamecompany (3rd game of a 3 game exclusive deal with Sony.)
Papo & Yo by Minority (1st game)
Unfinished Swan by Giant Sparrow (1st game of a 3 game exclusive deal with Sony.)

They had of course exclusive retail content, but none of them were 1st party:

Playstation All-Stars Battle Royal by Superbot
1st game of a new studio
Unproven franchise, which was made to bank on the success of a Nintendo IP.
Metacritic: 74 (PS3); 75 (Vita)
Sales: So far about 640k, could end up in 1m.

LittleBigPlanet Karting by United Front Games
3rd game of the studio (Modnation Racers and Sleeping Dogs)
A karting franchise, this is hardly a copy of Nintendo, more like a logical step to fuse the LBP and Modnation together in one franchise. I feel like it was a quick cash-in for the developer besides Sleeping Dogs, so they didn't put a lot of effort in it. (Sleeping Dogs is one of my favorite game of last year, by the way.)
Metacritic: 73 (Modnation was 82)
Sales: So far about 460k, selling closely the numbers Modnation had, and that reached 1 million eventually.

Sorcery by The Workshop
1st game of a new studio
A franchise made as a killer app for Move. I think it should've been out on as late as 2010 Christmas, after the Move launched. That's waht killed the hype for it.
Metacritic: 70
Sales: So far about 180k, selling slowly, so maybe reach 250k.

Starhawk by Lightbox Interactive 
1st game of a new studio
Spiritual successor of the Warhawk game, which was a moderate success, when PS3 almost had no multiplayer game.
Metacritic: 77 (Warhawk 84)
Sales: So far about 215k, selling slowly, maybe reach 400k, abismal considering Warhawk sold about 700k in this timeframe, and ended as a million seller lifetime.

Twisted Metal by Eat, Sleep, Play
1st retail game of David Jaffe's studio (Calling All Cars! was a download-only release, and they ported Twisted Metal: Head-On from PSP to PS2)
Reboot of one of the PSOne's biggest franchise, with the original creator. First mainline game since Twisted Metal: Black on the PS2 in 2001.
Metacritic: 76 (Twisted Metal: Black 91)
Sales: So far about 610k, selling okay, could reach 1m lifetime.

So what I think Sony tried a lot of new developers out with unproven or old franchises, and most of them simply failed to get thes sales. Twisted Metal and LBP Karting will be okay, and may have a Vita sequel or port.
These 2nd party studios altough will not be okay:

Superbot Entertainment's contract was terminated for DLC, and handed to Santa Monica. Superbot downsized itself, and working on a new (probably smaller and not exclusive) IP
United Front Games's Sleeping Dogs sold 1,5 million, probably making a multiplatform sequel to that.
The Workshop is only worked on Borderlands 2 DLC since then.
LightBox Interactive's contract also ended, they're moving to iOS development.
Eat, Sleep, Play is left by David Jaffe, and the're moving to iOS development.

So from that it is certain that they failed to live up to the expectations. So I let you decide, which of those were an AAA game.