When FF VII sold "only" sold 490k at launch it was considered a flop by naznatips. FF VII is huge in japan, also SMG sold only 250k without depleting stock, I think it is a bad situation. SMG might not even hit 1 million by years end which is shocking to say the least.
SMG situation is very different to FF7 for PSP for several reasons:
1) 3D Mario games are nothing compared to FF's in Japan
2) Look at the installed base of Wii and compare it to PSP, almost half.
3) Wii is considered to be casual so people might buy SMG lateron
4) FF games are too front loaded, they usually sell a ton on first week, and drop A LOT, so 490k for CC would mean mediocre lifetime sales. And guess what? Where's Crisis Core now? How is it selling? Yeah, that's right, awful.