If it's profitable, I doubt they'd do this. Split it off into it's own division, sure, but sell it outright or shut it down? No way can I see this happening. The board would toss him out on his butt and the investors would have a small herd of cattle each.
I would have to question this as well. I mean with that kind of attitude you have to wonder how concerned they are about Playstation outselling Xbox this year. They must assume they are going in the wrong direction, that being down and that must be their reasoning.