I think my biggest concern here is the way they sell it. This is Square Enix after all, there was always going to be some kind of catch. If it's just a staggered release schedule... well, I can live with it. However, if they start saying "Oh you buy each episode separately" I am going to be upset.

Not just for the hit to my wallet, but for the fact that FFVII is a huge single RPG. It has lots of interconnected systems. You gain experience, you customise characters, your decisions affect the outcome of quests hours and hours down the road. If the episodes are 'stand alone' you're going to lose a lot of that.