I'd rather the distinctions be blurred. (This does not mean the same). I'd rather developers try to make good games and incorporate good and unique elements that they feel comfortable with influenced from anything. (MGS incorporates both western and japanese elements :)) Instead of trying to be a certain way. (Not saying anyone, is or is not doing this).
Though FF is my favorite series. I've liked eidos titles as a whole better.
But they had poor management (which is why square had to buy them). A lot of big publishing houses have management problems at some point or another. This includes square.