They might go the Final Fantasy 15 route and like the news suggest, just re-brand it for the PS4. Seems to be working for Square, I don't see why it wouldn't also work for Sony. This wouldn't even be the first game in it's series to have a rebranding. "Shadow of the Colossus" was originally titled "NICO" and looked like a very different game than what it turned into.
Re-branding games with troubled development sounds like a good way to get rid of vaporware accusations, you can also pull them back out at the conference of your choice and become this immediate show stopper. Team Ico is probably working on something even if what results may not be what we originally expected.
Since I don't really have a PS4 to begin with I can't say I was ever hyped let alone feel some sort of loss, it;s basically Sony's version of Half Life 3 anyway and we know that won't live up to the hype that's been getting for years now.
You know what? I think it'd be kind of cool if we had a game that we constantly had on our minds, but never actually got. A phantom of a game, flickering between existence and void, haunting us with its figure yet never truly materializing. Something that spends decades in development and drops one minor news story like every 2 years. With the former champion released years ago and turning out a piece of horse manure, there is a throne waiting for the new k... oh sorry, didn't see you sitting there already, Half Life 3.
I've had this on my mind for years, but I'll finally just say it: I find it darkly funny that the very company that once upon a time pioneered episodic gaming with one of the most recognizable IP's in the world has so consistently and lengthily failed to do the one thing they were trying to do. It's a rather intimidating thought that we're less than 2 years away from the 10th anniversary of Episode 2's release.