Answering the original question (even though it's an older thread, I still think the question is relevant--hope it's ok for me to give my thoughts). And TLDR at bottom, because I know this a long, rambley mess.

This is a very interesting question, and one that I’ve thought about (and been frustrated by!) for a while. I think the combination of smartphones and the economic crash were both contributing factors: Tighter budgets and financial difficulties means spending money on something that’s efficient, useful, and does everything you need in one package. I wouldn’t say it’s ignorance so much as a representation of our fast-paced society. So in the sense of comparing consumer robotics to smartphones and the like, I can’t say I’m surprised at all that smartphones have taken off when they have so much going for them, both in terms of functionality and price point. You can’t put a robot in your pocket, after all.
Comparing it to other forms of entertainment (like video games and TVs, as Aibo mentioned) brings up different issues. The main difference between a robotic pet and video game systems/TVs is simple, but huge: The former is a stand-alone, proprietary gadget with limited software options, while video games and TV shows are constantly being developed and added on to by different companies. Say you buy a Playstation 4 for a few hundred bucks. That PS4 will be supported by multiple developers, all with different visions and games, for years to come. You buy a TV, and you get even more support from the many TV channels. Even basic (non-cable) TV has a decent number of options. You have basically bought an entertainment “system” that will amuse you in different ways for a long while. It’s excellent bang for your buck.
Let’s take a Pleo. You pay a few hundred dollars for a Pleo, same as what you would spend on a PS4. And…that’s it. You bought a Pleo and the one piece of software it comes with (you may get a handful of updates, if you’re lucky). The Pleo will become obsolete and “old”, in terms of entertainment value, long before your PS4. Thanks to limited updates and software development, the Pleo will lose its “shiny-new” factor very quickly. Now, for people who love robotics, this isn’t an issue—Pleo will still continue to be fascinating when it comes to its technology or the single source of entertainment it can give. But for the general public, it isn’t enough. It’s somewhat similar to the smartphone issue (one device being able to handle so many different tasks), just in the entertainment field instead. This is Pleo’s competition, and as it is now, it simply can’t compete. Look at the large variety of apps, games, and shows made by small or indie developers. People are slowly shying away from proprietary software that is heavily “locked” or closed, especially if the developer is not keeping up with said product. In a free market, this means the Pleo will fail—and unfortunately, it seems safe to say that it has.
Now, talking about the price: Like Aibo, I’ve brought my Pleo around in the public before. The responses have been overwhelmingly positive, with most people having no idea something like this even exists. When asked about the price, no one bats an eye when I say I bought him for 80 bucks used on Ebay. That price seems acceptable to them. When I mention the new, upgraded RB that goes for 400-500 dollars, that isn’t ok. At all. Nearly everyone has balked at the price and couldn’t seem to fathom why anyone would spend so much money on a “toy”, even with all the sophisticated features. The exceptions are people into robotics, but again, that isn’t the general public—which is what matters here, in terms of the market.
So, putting the two together, I think what we need for consumer robotics to take off again is one of two things (or both, preferably): A heavily decreased price, so that it falls comfortably into the range of what people think of as a “toy” and can be justified (maybe around 80-120 dollars, based on the success of the Zoomer), OR a more or less open-source robot that has the potential to be programmed and updated by people all over. Alternatively, a company that is extremely dedicated to their robot and regularly puts out updates and software could also work. If Sony or Innvo had continued supporting their products with dedication and regularity, they would most likely still have a consumer base (going on a bit of a tangent here, it isn’t surprising either company dropped their robots. In Sony’s case, they are a huge corporation with multiple products that make more money and have a wide, stable consumer base. In the eyes of a business, cutting away the Aibo completely makes sense. For Innvo, they are a fairly small company battling the tides of a bad economy. “If it ain’t broke, don’t fix it” makes sense from their point of view). And again, if there was a way to combine both a lower price and higher support, I don’t think we’d even be having this discussion right now. I can’t imagine consumer robotics wouldn’t take off at that point.
TLDR: I think the “magic” formula for consumer robotics taking off would be:-Lower price
-More support OR open-source support
-Dedicated robotics company (specializes ONLY in robotics or related fields, not in entertainment in general)
-A good economy that encourages growth and risk-taking