Pretty obvious this was going to happen when Sony announced the PSVR. I don't own a PS4 yet, but I'll buy the PS4K when it gets released. I don't even own a 4K TV - but I'll be satisfied if the PS4K can play existing PS4 games at native 1080p and 60FPS.

Seems like a pretty obvious move on a number of fronts:

1) PS4 struggles to deliver games at 1080p, and even if some developers can hit that mark, it's usually just 30FPS

2) The new 4K TVs are becoming mainstream now, and existing PS4 games look terrible on them when the native resolution scales down by 75%-90% just to make a game playable

3) Nintendo NX is likely launching holiday 2016, and reports from 3rd-party developers say they can port games with practically no modification - so Sony is going to have serious competition with Nintendo in 3rd-party titles

4) Keeping the same microarchitecture (AMD64) is going to make backwards compatibility very feasible

5) PSVR needs a more powerful system to make it a viable commercial competitor to Oculus and HTC products

6) The PS4 has been on the market for 4 years, so if existing owners are assured all their games will be playable/optimized on the new system at no additional cost, or maybe with a PS Plus subscription, then many will be willing to upgrade to the new hardware.

@javalino: You should have tried to write that in iambic pentameter

Scaled back production of both the Wii U and 3DS products seems like a far more realistic scenario for this year and next, rather than a complete cessation of production. Nintendo's focus at this point is definitely on the NX. The production output of the PS3 dropped by 80% in the first 6 months following the release of the PS4 - there's no reason to expect anything different with the Wii U and 3DS since both systems are sold at a profit.

Not at all surprised Nintendo are pulling the plug on the Wii U. I hope the NX does better, but if the rumors of the Xbox 1.5 and PS4K are true, then they might be in the same boat.

Chilli sauce??? That's pretty weak. If they're going to eat wings doused in pepper sauce it should be made from Trinidad Moruga Scorpion peppers, not chilli peppers.

Damn right it's appalling. Any MS hosted party needs to have go-go dancers dressed in latex Cortana suits.

I hope they gave the developers a lot of forewarning with this, otherwise I would expect the launch library to shrink significantly.

@bobafetthatesu: Yep, and the developers don't want to make AAA titles for VR until it has a decent enough market share to make it economically feasible - AAA games cost tens of millions of dollars to make after all. Driving and flying simulators like GRID and Elite: Dangerous will be plenty of fun and high quality, but it's going to more than just simulator genres and indie games to sell VR.

I'm hoping the PSVR sells as well as they're predicting, but only so that Oculus and HTC will drop the prices of their VR headsets by $100 or so. The only true plug 'n play VR solution I've seen for PC so far is the Sulon Q.