Rear projection TVs haven't been getting much coverage of late, what with plasmas and LCDs and all that, but if you're looking for a big, HD screen on a budget they still represent great value for money and the image quality is generally far superior to an equivalent priced flat panel TV. Sony, one of the biggest players in the market, clearly doesn't think the market is worth competing for any more though, because it is dropping out in favour of flat panel sets.
For those consumers not interested in a rear projection TV this is obviously good news as Sony will be able to focus greater resources on its LCD and plasma ranges.
From Sony's perspective the move will enable it to use production lines currently given over to rear projection sets to manufacture flat panel TVs instead, in turn meaning Sony has more TVs to sell for lower production costs; the balance presumably going on the company's bottom line - helping counteract that black-hole for cash known as the PS3.
The current range of Sony rear projection sets will be available to buy until back orders are fulfilled with distributors, whereupon production will finally cease, As such, hopefully there will be a short period with a few killer deals going, which can't be sniffed at. Ultimately I expect other TV manufacturers to follow suit on this one; consumers for the most part seem to be hung up on flat panels, and for the most part there's no reason not to be. Old tech gets replaced with new tech and pretty soon we will all have 108in plasma TVs in our living rooms for tuppence - ah, progress.