What they said was essentially correct, but you're oversimplifying it in your re-telling. This has all already been explained here on the BBS by the Cambridge team themselves. So far, the information they've released has been:

- They are not making any more Rio Cars units, period.

- Their next project for the car will be different from the Rio Car. It will use some of the same technologies, but it will not be the same product.

- Their next project for the car will be OEM, and will not be sold retail.

Don't let this stop you from buying a Rio Car now, though. It's still a great product and you should get one while you can. Details on the EOL are here, and places where you can buy a player are here.