Speaking to Kikizo, Ogawa could not offer one conclusive reason why Sonic the Hedgehog on Xbox 360 and PS3 turned out to be such a disappointing game, but did reveal some problems which probably didn't help.
"The reason why probably ended up with what we see today, involves a lot of reasons. One is that we did want to launch the title around Christmas, and we had the PS3 launch coming up, but we had to develop for Microsoft's 360 at the same time and the team had an awful lot of pressure on them," said Ogawa. "It was very hard for the team to try and see how we were going to come out with both versions together with just the one team. It was a big challenge."
So it looks as though the development team was too stretched to produce both versions of the game on time and as such maybe had to cut some corners. It's sad, because when the game was first shown it really did look promising.