http://kotaku.com/344074/will-work-with-microsoft-if-theres-merit
It seems that square is shifting towards nintendo?
"We thought that the PS3 and the Wii will coexist due to the difference between both strategies, but in the end the users will decide which platform we develop on. The SCE platforms at this point are a bit of a challenge... We think we can do much on the Wii. I talked to Iwata to exploit many possibilities and cheer him on."