I think that many people fail to realize is that it's not Square who has changed. Back then, during the SNES-PSone times, they could develop a jRPG game and it would take them 1 year, then sell 300-500k copies of it and that would be enough to varrant a sequel. They could experiment, make new IPs - not because they were so cool and now they suck, but because it used to be cheap. And it's just not the case anymore. They cant make a game that fast, and selling 300k copies just wont make any profits. Not to mention that people in the West care less and less about jRPG games.
Golden era of the genre has ended, the companies cant act the same way they used to. If Square-Enix will act the same way Squaresoft did they will just go bankrupt in notime.
So personally, I like Square-Enix, much more than I ever liked Squaresoft. Because regardless of this difficult times they still try to innovate (TWEWY), they are not affraid of making changes within their most successfull franchise(FFXII, the best FF game to date) and they do support a load of smaller japanese developers like Tri-Ace, Game Arts, level-5, ArtePiazza, TOSE, Matrix etc.
The way I see it, the genre still lives thanks to Square-Enix.











