Its a premature prediction that lacks foresight like many of the doomed scenarios that people want to put Sony in.
I mean, its certainly possible if Sony isn't willing to spend on their gaming division, but if Bungie is any indication, the majority of Sony's midrange investment (13B - 15B+) will be used to bolster the PlayStation division, and that's without considering whether Sony will increase the amount to spend for their midrange plan. With Activision Blizzard staying multiplatform, potentially due to the FTC, Microsoft won't be able to disrupt Sony's console model this generation, but it will significantly grow GamePass later in the decade. However, that is a large buffer to give Sony Corp from a competitive standpoint, as they will increase their revenue, profit margins, strength of IP, multimedia utility, development teams, film/television/anime studios, & live service capabilities.
Sony has never been in this good of a financial situation even compared to when they dominated electronics without any debt. They won't be able to outspend Microsoft, or sustain massive billion dollar loses to get their subscription service off the ground running, but they will be positioned to offer one of the best all encompassing subscription services on the market. It's the natural evolution of subscription services, and as we see with Netflix right now, they are planting the seeds to be able to capitalize on this very evolution down the road.
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