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It is not completely true

>I know Sony has more or less dropped the whole SACD project

It is not completely true.
From: http://www.sa-cd.net/showthread/13357//y?page=last

A new Sony CD/SACD player in some 'Pure Heart Audio' series labelled 'System 501':
Sony SCD-X501
Â¥ 70,350
Release date is March 10, I gather.
More pictures and other details at:
http://www.sony.jp/products/Consumer/AV-HiFi/501/index.html
http://www.sony.jp/CorporateCruise/Press/200702/07-0208/
http://www.watch.impress.co.jp/av/docs/20070208/sony1.htm


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