Comparing WKC to FF7... you've gotta be kidding me. Never mind the fact that besides Dragon Quest (an SE franchise), Level 5 hasn't made a game with sales making even half of FF6's, the precursor to FF7. Also, their best selling games aren't even RPG's.
Big JRPG's can't just materialize out of thin air. All the big ones are old franchises from SE (the newest, KH, aided by Disney familiarity), and the number of non-SE JRPG's that can break even 1mil are few in number. Mistwalker should be a nice example of how hard it is to make a new hit in the genre. I'm sure PS3 fans will argue that the 360 userbase have far fewer JRPG fans - I guess we will soon see the truth regarding that.
Level 5 "dethroning" SE means they'll need something bigger than Star Ocean, Kingdom Hearts, Dragon Quest, and (finally) - Final Fantasy. I do not see this happening, ever. They'll be lucky to outsell DQ/FF remakes.
Don't get me wrong, I love what I've played so far from Level 5, they're awesome devs. I also like what I've played from Team Ico, but I'm not about to get delusional and start predicting their games will get bigger than Zelda.
