Squaresoft was run by people who let themselves be bought by Sony and back then it was a new thing that console manufacturers moneyhatted third parties. Unsurprisingly, Nintendo wasn't happy that a company that was saved by their success on the NES was backstabbing them about a decade later, and on top of that, during a time of a collaboration that signaled an even closer relationship between Nintendo and Squaresoft than ever before; Super Mario RPG wasn't released in PAL territories because the relationship between Nintendo and Squaresoft ended so abruptly.
For a long time the world was fed with lies, such as Squaresoft went with PlayStation because of CDs when in reality it was all about money. The interview still has people who want to dress up the lie to this day, but when it comes straight from the horse's mouth that Squaresoft made a deal with Sony, then there's no room for doubt anymore. Sony bought themselves into the console market and their deal with Squaresoft wasn't their only one. That, however, goes against the mythos that PlayStation got all the games because Sony is a better console manufacturer, and that it wasn't until Microsoft entered the fray that the moneyhatting on a big scale became common practice in the video game industry.
Unless there are sources to support your conspiracy theories, the only one spreading lies is you.
Your whole comment is so typically single-sided...