the last gen has been really unpredictable but sony has SO many plans for this gen. I just can't escape the feeling that they might take this gen by a surprise. They caught up to MS too.

I think once a price cut is dropped off and GT5 is released we'll see a boost

PS3 will not catch up to the Wii, that is a certainty. 360 very likely though, still find it hard to believe that people write off a console not selling due to being too expensive and comes from a brand 240 million strong to one which has sold 8 million more having released a year before.

And no, Brand Power =/= being wealthy, people will not start robbing stores to buy a console due to brand power, simply means that when the price becomes reasonable the console will do very well.

Anything is possible

I don't have that exact feeling like you, but I do feel that in this generation, unpredictable things can happen, and if anyone could make a comeback in a generation, it's Sony and the PS3.
Not in the "they will win the generation"-way, Nintendo took that crown a long time ago, but in terms of the PS3 being a viable option all the way through the generation, and not just the loosing console.

I'd say, first year, it where momentum should be.
Second year, is the make or break on momentum.
Third year is the year that determine if the console is a success base on 3rd parties support.

Sony lose some momentum at the several months in '08, but it still can catch up. It's still early 3rd year. They just have to really do something, and quick.

MS has one, but insane, main plan :

Xbox360 will ALWAYS be cheaper than PS3

this price advantage may be to strong to allow the PS3 comeback ...

(and I still hope PS3 will come back !)

Unless winged kittens crawl out of my anus, I have to disagree with your hypothesis.

Anyway...

At this point, whatever plans Sony had may have been rendered moot. The plans were originally tossed when the PS3 completely collapsed in the first half of 2007. And whatever the contingency plans were have been hurt by the recession as Sony's problems have expanded well beyond the Playstation line. 

It must be painful.

I know so many PS3 fans say this but a big price cut, GT 5, FF13 in Japan, GOW 3 etc, could result in a comeback of sorts.

I don't see the ps3 catching the wii by any stretch of the imagination, but this year does seem rather hopeful for the ps3. The psp has an amazing list of upcoming titles and the ps3's price cut and game lineup are inticing. I know I'll be buying a ps3 when it hits 300 in april.