"As far as I can tell, the short answer to your question is that I can't really say for sure, since it seems pretty vague to me. Then again, my knowledge about the Star Ocean series is extremely limited, so maybe I'm missing something. I know you said you didn't need a full translation, but I think the best thing to do would just be to give you one and let you draw your own conclusions. It's not that much text anyway.
Interviewer: About the shocking conclusion to the last game (Star Ocean 3), do you plan to follow that in some way in this game?
Mr. Yamagishi: We're making Star Ocean 4 as a story of beginnings, and it takes place before the First Age. [Probably not the correct term used in the games]
And the Star Ocean series was originally structured to be more or less complete as a trilogy. As for the way 3 ended, I think it'd be okay to consider it something thrown at the users by Tri-Ace. In my opinion, there's many ways to interpret it. Whether the world was destroyed in 3, whether you could say the world of Star Ocean ceased to exist, or if this was a false world created as a parallel dimension, which one is the real world, these are all things that are still unknown in terms of the Star Ocean world. So I'd be grateful if people wouldn't necessarily interpret that conclusion to mean the end of everything.