I still think its not a bad idea, I mean, the whole Conker fiasco is a prime example, its just dfferent to compare the two since Sonic has been around longer, and is pictured as a kid's video game hero.
I think its good for Shadow to turn into such a rebel, if they just fixed up the model, gave him a more agressive expression, and shrunk Shadow's gun, it wouldnt look as ridiculous as many have depicted.
Thats PS2 hardware for you, but oh well.