RolStoppable said:
fordy said:
This.
It was well known that Square was pandering to Nintendo for a CD based console after their development team went too far and could no longer fit Final Fantasy VII on a cartridge (well, they could have except it would have been incredibly expensive). After rejecting Square's request, they not only jumped ship to the PlayStation, but also convinced felly 3rd party developers Namco and Capcom to do the same.
Square then went on to have the 2nd biggest selling title on the PSX, which would have been on the N64 had Nintendo played their cards right. Third parties would not have taken such big risks with the Playstation due to their inexperience in the market, and with Nintendo already wiping the floor with so many other consoles (particularly those released by electronics companies), a CD based Nintendo 64 would have had thord parties thinking "The playStation will just end up like the Panasonic 3DO, the NEC PCFX, the SNK Neo Geo, the Atari Jaguar or the Amiga CD32. The list of consoles that the SNES destroyed was incredible!
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What was Squaresoft's reason to cease support of the Gameboy?
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Hiroshi Yamauchi
You have to remember that Squaresoft and Nintendo were really close during the NES and SNES era. Their US headquarters were in Redmond, Washington, right next to Nintendo's own US headquarters. Those relations soured with the deal with Sony and Squaresoft also had their own ambitions beyond videogames (ie movies). Yamauchi didn't want to help them in any way after the initial break.

"To show mercy is to show proof of your imperfection!"