Board Thread:General Discussion/@comment-4383275-20150414221305/@comment-26973802-20150629013221

Just to make things simple:

It is canon, but all of its events were erased from history except Solaris's death as a flame 10 years ago, and the revised Festival of the Sun.

Time Eater just accessed an erased point in the timeline, and as mentioned above, the destruction of Time Eater restored the timeline to its original state, aside from Shadow, Silver, Classic Sonic, Classic Tails, and both Eggmans being in different locations than when Time Eater sucked everyone into limbo and the characters (or at least the present day ones) remembering the adventure.

As to Silver, he returned in Sonic Rivals, Sonic Rivals 2, and Sonic Generations. In the revised timeline, Sonic Rivals is Silver's first meeting with Sonic.