At Gateworld, executive producer Robert C. Cooper told GateWorld exclusively. "As far as the future I can't comment yet because nothing has been confirmed," Cooper said. "What we want to emphasize is that the franchise is not dying. SG-1 will go on in some way. We're just not ready to announce how." A formal announcement from the studio and the network is expected later this week. Cooper also emphasizes that, though emotions are running high among Stargate fans who have just learned the news, it is important to keep the show's ratings strong throughout the remainder of its run on SCI FI. "What's most important is that fans don't take out their frustration with SCI FI by not watching," he said. "In fact, what they need to do is watch both SG-1 and Atlantis LIVE and make sure the ratings stay strong.
Still sounds like SG1 is toast, but maybe it will revive in a third series? Time will tell.