I wouldn't say SE is failing, hell they are probably doing better financially now then they did in the PSX days. They are not going to go bankrupt but I do feel they have lost some of their credibility. I don't think SE stands for the same things it did years ago, and while no one can say whether this is a good thing or a bad thing, I do feel its alienating parts of the fanbase.

It's true that nothing SE can do will make everyone happy but it feels like, with the FF series at least, that SE has seriously dropped the ball in the last few entries. I don't think a quick turn over of titles will make it better either, what they need to do now is decide what they want FF to be, not live up to some silly expectations from years past but really come up with a direction and work towards it. I feel that XII and XIII both represent a sorta crossroads for the main series, each encompassing what part of the fanbase wants. Personally, I feel the direction SE needs to find middle ground between these two extremes, and maybe some better writers. Who knows, maybe Agito and Versus will be the happy middle, people are looking for.