If this all pans out, this is just the shot in the arm that Sony needed. Look how quick everyone has changed their opinion? Sony needed good PR and it took a bold move to get it. They're throwing down the gauntlet, and as someone noted, especially in lieu of Nintendo's recent bad press for their pricing.
This is the Sony I think we all had been hoping to see all along. A Sony that wants to win and will go down fighting. That's what we expected from Nintendo, and their news last week made them seem scared to deliver the knock-out punch. With this news, Sony seems to be going for Microsoft's throat. That, in particular, doesn't make me happy, but the idea that they're going to fight hard to win does. We could all only be so lucky as to see a race as tight and competitive as the 16-bit wars.
How I'd love to see Crash Bandicoot outside Nintendo HQ again...