What a coincidence! I have just linked you the discussion where I explain my strategy applied to every Final Fantasy about to give severe limitations to weapons because they tends to overpower normal attacks and make spalls/skills underpowered because of max damage limit...

I link it to you again:

http://home.eyesonff.com/general-fin...amage-cap.html

You will notice that I'm far more extreme that you on this matter, I extend it not just to ultimate weapons...

The concept is that spells/skills that have a cost should stay a lot higher in damage than normal attacks for balance reasons and the only way to do so is to keep the initial weapons (that are also signature weapons that fits the character as icons like Could's Buster Sword)... It's impossible to have a fantasy RPG where meele fighters can destroy the uber Arch Demon with just sword swings... Powerful spells and skills shall remain the key to win as you intelligently noticed... The damage cap is what ruins everything because high spells could still overcome Ultimate Weapons damage often but having everything capped at 9999 flats all out...

I appreciate a lot this idea of yours that is also mine...