Well... this article deserves a prize:

 

Ken Kutaragi - "the Xbox 360 is more of an Xbox 1.5 than a next generation console."

And look what happened to him.

You're exactly right Mike.  Whereas the 1.5 comment is just a vague immature stab, the downright lie that would be the "far more powerful" comment is much more serious.

I'm glad we're in agreement.

Good old Ken Kutaragi, First he was a thief in the early days of the first playstation during the Famicom-playstation project and then he became a liar when he said that the 360 was "xbox 1.5" .............no wonder i hate that rat.

It's funny how you guys hate him for things he "said". I don't think I've ever heard true PR in my life which is why I don't listen to PR period. If you put the PR aside, you'd realize that Ken is a man who had a vision, worked his way up to get that vision and ended up expanding the gaming industry beyond the "kiddie" stereotype to people who could spend their own money to play games. He made 2 hugely successful consoles, however, one failure regardless of past success gets you crucified. Such is the human way. This is why Ken was fired...he finally failed.

He's won lifetime achievement awards for what he's done, there's a reason for that.

 The most "unworthy" winner of a lifetime achievement award in the history of mankind, he's a thief.

Bottom line______________________

Trivialising Sony's real financial problems and pigeon-holing all the unfavourable media as 'jealousy' is a weak argument. The PS3 is grabbing headlines because of it's underperforming sales against expectations in lieu of previous successes and massive losses it has cost the company. I don't think the writers at CNN Money or TIME are jealous of the PS3.

If he is complaining about the literal "PS3 is doomed" crowd then he is right, that's taking it way too far.

But the PS3 isn't exactly in the Rosiest situation like he paints either. Sure he is rebutting silly fanboy rantings, but at some points he himself rides the fanboy train by actually trying to assert that all of the negative news is just jealousy on the part of the "haters". I mean he actually went to the "You're just jealous." cliche...

I hope he is right about every one of those games mentioned, and that they are all AAA and amazing fun for every PS3 owner. But please don't let this guy delude you into thinking everything is 'A'-OK at Sony any more than you would let the so-called "haters" convince you that its all doomed to collapse. There are serious problems for them to deal with, that much is fact, but they have time to deal with it still. It's sort of like when you or I would be strapped for cash really...we aren't evicted immediately from our home but we need to make some tough choices about our expenditures in order to right the ship and that means luxuries are the first to go.

Well, i'm not quite sure what the article in the OP is after, aside from the standard SDF damage control. Unless it's supposed to point out that despite the "PS3 is doomed" articles, PS3 isn't doomed.
Usually the articles idea is to point out to Sony that the have to do something to get SCE to make profit (like they don't know that) and the articles of course are always views of the author.

@Pristine: Yes, there is a reason for Krazy Ken getting the award, he did a lot for LCD:s for example. Great engineer indeed. As for the success of Playstation, i'd personally look at the direction of Phil Harrison.

I have read the original (translated) Japanese interview and I could not find this quote.

The original source seems to have been Team XBox, not the best source. Luckily this Team XBox "news" wasn't covered by other websites that much, apart from the usual sensational sites.