That's not entirely what's happening though.We all agree that they made bad business decisions, but apparently Square, in typical Square fashion, took it to mean AA games don't sell, when plenty of people think AA games priced like AAA games don't sell.
I'm really unconvinced that for Square, a company that obviously struggles with the rising cost of AAA, the answer is to take their AA offering to a farm upstate.
This is what Kiryu said a while ago:
Q: Has the way that your development function has spread to cover so many bases made controlling your development efforts more difficult?
A: It has less to do with our development function and more to do with the numerous entries in our lineup. I want to structure our development function so that we are able to ensure higher quality from each title by slimming down our lineup.
Q: Why have you been unable to slim down your lineup until now?
A: As our customers’ needs and the types of devices available have diversified, we have tried to produce hits by developing a wide variety of titles rather than by focusing only on certain ones. I believe that this has resulted in the splintering of our resource pool. Meanwhile, there have been clear winners and losers among the major titles released recently in the gaming market, and it has become possible for even indie titles to make their presence felt. The market is increasingly polarized between blockbuster and indie titles, but I feel that we have developed many titles that fell somewhere in the middle. I want to make clearer distinctions going forward.
He does obviously want to focus more on AAA titles, but I don't think he says anywhere that they are planning on killing every AA game. But they will have fewer of them, that ideally are more consistent, with higher quality instead of shitting out 20 mediocre ones in a single quarter. I don't really think that's bad?
You can't tell me them going through their in-development titles and pruning the Babylon's Falls, Balan Wonderworlds, Quiet Mans and others before they come out and bomb is that terrible of an idea.
Hell, Asano (Octopath, Triangle Strategy,...) got promoted.
But like I said, it will take some time before we'll see the ramifications in full.