Or even better: A Wii-exclusive Kingdom Hearts III.

Hrmm. Earthbound with a bunch of super emo androgynous cry-babies. Yeah, not liking the concept really. I am at a loss for what "talents" Square-Enix has left in house.

Agreed, not to mention that this is only one of Square-Enix's teams working on Mario Sports Mix. Specifically, the same team behind Mario Hoops 3-On-3 for the DS, as well as Kingdom Hearts: Birth by Sleep. If this was the only team at Squeenix, then they'd have a hell of lot of work to get done right now (as there is also FFXIV, FFXIII Versus, and a 3DS Kingdom Hearts in the works.)

Oh come on, of course we all know Squeenix can do more than just RPG's, but that is what they're most known for, and what they've been the best at. 

Yes, of course, Earthbound is it's own little entity and extremely unique.  Everyone knows that.  But I wouldn't just dismiss Squeenix's ability to make the game.  It could always still be overseen (and would be anyway) by Shigesato and Nintendo.  Nintendo gave the beloved Metroid franchise to a little-known, untested developer in Texas and fans cried foul, until they actually played it and realized that it was the right idea all along. 

For clarification, I'm not doing that with this Mario Sports crap.  I'm sure Squeenix is fully capable of making another game to add to the list of unnecessary sports games on Nintendo systems starring Mario.  I also don't care for sports games, but I fully realize their importance to selling consoles.  And Nintendo's sports games, these days, all seem to star Mario (and to an extent, Sonic).  On top of which, Nintendo stuffs Mario in to way too much crap as it is.  Just makes me shake my head in disgust.  Do they have no confidence at all in their ability to make anything without Mario in it? 

The Earthbound talk aside, there's stil StarTropics in Nintendo's past that could benefit from a revisit.  They have so much in their past, and it's just so sad to see them constantly pandering to fanboys constantly with Mario.  Just, ugh.  To lay this all out so it's easy to understand my point: 

Square-Enix making a new game for Nintendo:  Awesome.
Yet another totally unnecessary Mario Sports title being made: Lame
Square-Enix's new game for Nintendo being said unnecessary Mario Sports game:  Wicked lame.
Nintendo's legacy of gaming: Outstanding.
Nintendo ignoring their own legacy to over-use Mario, Zelda, and Pokemon: Ultra wicked lame.

I sliced out the unnecessary parts of your post, since they have nothing to do with what you and I are saying to each other right now.

Being known for somehting does not preclude the idea that they can do something else, and bringing up the fact that they're primarily an RPG studio is pure and unrelenting misdirection.

Itoi will not oversee the title. He's already said he's not making a Mother 4. It would ned to be one of S-E's directors that handle it, and there is no game in S-E's portfolio that suggests they have the kind of skillset necessary to create a good Mother game.

Sakamoto oversaw Metroid Prime. So did Miyamoto. That's an entirely different animal.

I don't think you have much of a point, on this front.

You do know that Square Enix approached Nintendo about making the DS game, Mario Hoops. I'm pretty sure they approached Nintendo about making this game. It gives their developers an opportunity to develop other games besides RPGs. This is how a team/studio grows.

Secondly, Ninteno is not overlooking thier legacy. They've already announced  a Kirby game, Donkey kong country,

Kid Icarus, and we know Pikmin 3 is in the works. True, some of thier other IPs are being ignored, from our perspective, Star fox, F Zero, and others. But, this does not mean that their teams are not in the planning stages or are actually developing said games. We will have to wait until Nintendo decides to reveal those games or not.

It's by Square Enix Osaka specifically.  They have a lot of former Konami staff there, and also made Mario Hoops on DS among other titles in the past (FF Mystic Quest, FF Legend 3, Parasite Eve 2, Einhander, KH Re:COM & BBS, Musashi series, etc)

good, looks fun. But they should be developing a remake of E.V.O. or at least a new game, just as good as the one in the Snes...at least a wiiware one

Mario is going to be a depressed teen with shroom problems, and has sexual incompetent toward peach while her being the princess that wants to be kidnapped by bowser to get out of the castle and then mario suddenly show up in the wrong place at the wrong time selling mushrooms and then they "Run away" and then suddenly someone who says "Hmp!" and "Pity..."  a lot is going to betray Bowser while becoming a god with fluffy wings and then Mario , Luigi and Peach get to battle him with epic music with the help of Bowser's secret magical powers , then after killing him , that magical power turns against them and kills peach and then fanboys cry while battling evil bowser and having sad music in the back.