Talking to the website DigitalSpy, Takashi Iizuka has confirmed that there are currently no plans for another episode of Sonic 4.
“We are looking forward to hearing the feedback from the users for Episode 2, but we are currently not planning to release another episode. We just want to see how the users accept this episode.” – Takashi Iizuka, Producer.
Naturally, plans can change. For time being being though, Sonic 4 will be ending with Episode 2.
For an interview with Iizuka and a hands on preview of Sonic 4, head on over to DigitalSpy.