Actually, Level 5 becoming a Sony first party company is very very likely. They have enjoyed a very close relationship with Sony for a long time, which should be obvious as most of their games have been published by them. And Level 5 always preach the name of Sony, even in the last interview they said they're happy doing business with them. Plus Sony are always the most keen to get new developers under its belt. Nintendo doesn't give a toss, especially when the Wii is doing so well. As for Microsoft, well there are rumors that Level 5 fell out with Microsoft last gen after Microsoft dropped support for one of their titles at the very last minute.