Play Station All Stars Battle Royale/WMG

The main antagonist is the Playstation X
In the future, the Playstation X is the ultimate game console. So ultimate in fact, it considers all previous Playstations inferior and is trying to wipe them out one by one. The ps3, ps2, and ps1, have banded together to hold a tournament and select the top champions to take down the PSX and save gaming!


 * Don't forget the PSP. They'll need all the help they can get (Jeanne D'Arc for instance).

The main antagonist is Polygon Man
He was supposed to be the original Playstation's mascot. However, he was cast aside, and all these years of being ignored has made him bitter and resentful, and now he's decided that it's finally time to take the spot that would have been his. Besides, this saves the trouble of Sony creating a new boss. For all we know, Polygon Man (there might be a name change because Polygon Man seems to be a weird name for a Final Boss) is actually the creator of the entire Sony universe, ala Master Hand. However, this seems to be unwise, as more detractors would create more comparisons to Smash Bros.
 * Well, he is more powerful than God.

Spyro the dragon will be in this game
And not just one Spyro, but all three spyros: the classic one, the legends one and the skylanders one. And you can have them team up if there's a story mode.

There will be third-party characters, but...
... aside of Crash and Spyro, they'll all be off-disc DLC. Perhaps certain companies will even see future bundle-based releases. For instance, the Square Enix pack, containing Cloud, Aya Brea, Sora, Claude, Gex and Laura Croft (or some other combination of their intellectual properties).
 * Gex better be in it.
 * Jossed. We've got Big Daddy, who was explicitly said to be on-disc.

Third Party Characters
Because they HAVE been confirmed...
 * Ezio Auditore (or Altair/Connor/Desmond, but Ezio is more iconic)
 * Apart from appearing in the "Michael" trailer, there are other clues. Ubisoft has been giving the PlayStation 3 free stuff for no reason in Brotherhood and Revelations (The Copernicus DLC and the entire first game respectively), so it seems they are making deals with Sony of some sort. Also, Ezio was in Soul Calibre, so he can be done in a fighting game.
 * Chell (Or the co-op bots, or some other Valve characters)
 * Once again, Chell appeared in the "Michael" trailer, if only briefly. Also, since E3 2010 and Gabe Newell's Heel Face Turn to PlayStation 3, Steam has been on the PlayStation 3 through Portal 2 and Counter Strike: Global Offensive. I can't see why he would disagree to this.
 * Mortal Kombat character
 * Along with the game being a near-launch title for the Vita, Kratos was in Mortal Kombat 9.
 * Supposedly Ed Boon posted a now-deleted tweet hinting at Scorpion being on the game, though some think he may have been trolling.
 * Street Fighter / Tekken characters
 * For the same reasons - Street Fighter X Tekken was a near launch title on Vita, and it featured several Playstation-exclusive characters such as Cole MacGrath and Toro.
 * Paul Phoenix was in the background of the Michael ad.
 * Crypto

DLC will contain Sony employees and Kevin Butler

 * Exactly What It Says on the Tin, Jack Tretton, Kaz Hirai, Howard Stringer, maybe Phil Harrison or Ted Price if they can swing it, etc.

The final stage will be a mashup of the system menus of all the Playstations
It'll be a representation of the breakdown of the universe everyone's fighting in, reverting back to its base state. It'll start looking like the Playstation 3 menu and fluctuate between that and the PS2 and PS1 menus.
 * That would be awesome! It would start with the original playstation logo, then load to a playstation underground demo disk, then a ps2 menu, someone presses "browser" and checks their memory card, then to a ps3 menu where you have to jump to each icon until they all fade and the last survivor fights the final boss on the "games" icon.

Stages

 * A combination of Sly Cooper and Destroy All Humans!
 * To elaborate, the stage starts out on the rooftops of Paris. After picking up a Brain Cortex item, Crypto's UFO comes down and shoots the Quantum Deconstructor at the Eiffel Tower. Then the saucer flies to the arena and periodically begins firing a Death Ray at the players.
 * A combination of Fat Princess and Twisted Metal
 * To elaborate, the stage starts out as the Kingdom of Titania with both kingdoms at war, which can harm players. Eventually, some Twisted Metal vehicles bust through the walls of one of the towers in the background and begin running down villagers (and possibly players!)
 * A combination of Crash Bandicoot and Spyro the Dragon.
 * To elaborate, the stage starts out on the Island with both Crash's house and Cortex's Ice Lab in the background. Eventually the Psychotron appears and opens a portal. Suddenly, Ripto, Crush, and Gulp emerge from the portal and periodically wreak havoc on the stage.
 * Also, it would would be a neat Mythology Gag to two certain games.
 * A combination of Modnation Racers and Wipeout or Motorstorm
 * Could I add one? How about Motorstorm: Apocalypse meets Flower. Fake San Francisco is crumbling with random explosions covering the battlefield, whole buildings crashing on the players and violently-driving vehicles occasionally passing. Once the stage has reached past the point of total destruction, the wind and pedals fly in and calm the stage to become a flat, peaceful, grassy plain.
 * The train from Uncharted 2, just going through the jungle and snowy mountains, enters a tunnel... and is stopped at Empire City/New Marais from In Famous, and gang members appear in the foreground and background and try to shoot you.
 * A stage in Paris with the Eiffel Tower in the background. It starts with Carmelita from the Sly Cooper games chasing the Sly gang's van around the area. After a while, the Eiffel Tower blows up like in Twisted Metal 2 and then various Twisted Metal vehicles could start driving around, along with the Sly gang's van in the action.
 * A stage combining Crash Bandicoot and Kingdom Hearts. The stage opens with the characters fighting on N Sanity Beach. Crash's house can be seen in the background, with Crunch and Polar watching in the garden. As the battle goes on, Cortex and N.Gin appear in a mech and start firing lasers at the fighters, which causes the Heartless to appear. This results in the stage resembling the destruction of Destiny Islands in the original Kingdom Hearts.
 * The City from Motorstorm: Apocalypse. The city will instead be populated by classic Twisted Metal characters instead.
 * Iram of the Pillars from Uncharted 3. The city would at first be shiny and well-constructed. Over time, several Precursor artifacts from Jak 3 come alive and start destroying the city. The Djinn will appear in the background as a stage hazard.