His poor health has been documented extensively. I'm sure that has a little something to do with it. I don't think we've seen the last of Smash, though...which is an excitingly terrifying concept. Who knows who will be in charge of the next installment. There's certainly enough team members from these last couple (all?) that will be able to continue where he left off. In some ways this could be really good for the franchise as someone with new eyes on the project will be able to do some different things.
Sakurai has stated that he doesn't know what else he would do with the game anyway. That's kind of a sign that he's ready to move on from it. New blood, probably someone who apprenticed beneath him, could be an interesting thing. They will have much to prove...and at least 3 years to brainstorm the next iteration.
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