I guess I'll add my :twocents:

For the most part I don't think SE is doing bad, granted its heading towards a few directions I don't care for but part of innovation is accepting change and new ways of thinking. XII has restored my faith in the series as well as the III DS and IV DS which I'm looking forward to as well as A2. If their is a blemish on the series I would have said its the constant ports but many of them have been handled beautifully. Hell, I'm even starting to warm up to the XIII project even though I refuse to jump into the hype bandwagon for it.

Though I do feel if SE has made a few wrong moves, its in the Compilation of VII. Having Before Crisis placed on a cell phone market thats only strong in Japan and the constant change to the games canon has probably been the real reason why part of the FF community as well as the critique community feel SE may have sold out. Not to mention SE's heavy reliance on the DQ/FF brand names. Part of this is as been stated because SE is a larger company and can now have multiple projects to utilize the brand names better. Of course my other feeling for SE's negative attention in the media is probably due to its success. Ever since Square started making a name for themselves, a backlash has been felt where people want to see the company fail. I seriously feel people made a bigger deal out of Spirits Within than it should have...

If I want SE to change in the future it would be three things:

1. Lack of original IPs. Granted this falls into an entirely different debate about the industry as a whole and its understandable. Its a mionor complaint at best, besides I do like the fact that SE is experimenting more with different genres. Though Dirge of Cerberus was ill recieved, at least SE had the guts to try something new. Chain of Memories, Sword of Mana, and Revenant Wings are also good signs that at least from a gameplay standpoint; SE is open to new things and constantly trying to push boundaries.

For the most part I'm happy they continue to innovate but I do wish they could do it without feeling the need to put DQ or FF in the title. I seriously feel Versus and Agito would get a much better reception critiquely if they didn't have the FF moniker on them.

2. Less emulation more immersion. Once again something I feel the whole industry needs and luckily it does appear the SE is walking this route though I'm a little disappointed that they seem to be late to the party. Basically this concerns the gaming communities emulation of the movie industry which I feel needs to finally end. This is mostly due to the fact that I feel games have a better framework for creating wonderful storytelling and experiences than movies and its due to the genres interactivity with the story.

Basically we need to have less 80% story cutscenes and 20% game and more of a fusion of the two where neither is apparent. KH2, MGS3, and RE4 all all wonderful examples with the storytelling and gameplay perfectly fused together. Its one of the reason why I have high hopes for XIII battle system as it may lay the groundwork for the eradication of FMV cutscenes. Bsically I feel the game industry should find its own path and stop with this silly notion that movies are better...

3: A better balance between making a game challenging and accessible. Once again something the cast majority of the industry is guilty of (except you Capcom *hugs*). Like my previous point though, I feel SE is more guilty of this than other companies. Basically we need the main game to become more challenging. I know its difficult to do when you have to put accessibility into account but I feel its getting a little out of hand. I just wish they would take a lesson from Star Ocean 2 where unlocking the uber difficult dungeon with the insanely powerful bosses made the final boss one of the most powerful SOB in the game. Something along those lines would make me happy but alas I don't see this one coming true I'm afraid...

Overall these are changes I would like to see and though SE is partially responsible for leading the industry down a few paths, I also see they are taking certain measures to make changes for the better. Part of my own personal issues with last generation of SE offerings stems probably from the turmoil of Sakeguchi and other high profile members leaving. As well as the merger and the general lack of a direction for the company. All this ending with the only person I feel who could lead SE in a wonderful direction leaving the company as well. Though I don't care for the idea of sequels for the main FF branch it did at least lead to SE listening to its fans more and brought us some really well polished ports and remakes. I can't say I'm thrilled with the direction XIII is taking (why three games again?) but I'm slowly starting to accept it.

Overall, I'm optimistic for the future cause I feel the gaming community has matured and changed in a way that won't allow the industry to redo the same old crap; and that the current generation of systems can allow the industry to experiment more and find their own path to explore as well as a new form of creative expression.