I disagree.
What SE needs to do, imho, is ride the decline of the JRPG genre.
That doesn't mean abandoning the FF multimillion sales colossi, but acquiring external talent to develop and publish a range of "low" budget, 2D based JRPGs that can be profitable without needing 3 million sales and 5 years in development.
We were buying 4, 5, 8 JRPGs a year in the SNES/PS1 era. One every X years was FF. The rest where the Grandias, the Thousand Arms, the FFT, the Lufias, the Chronos, the army of different franchises constantly released.
Now they're obsessed with the FF mentality, which dictates them to release a title that is technically at the top of the current production values pyramid. Fuck that. That's FF. Create a 2.5D isometric engine, acquire all the small studios, new and old, that have good ideas or traditions in the JRPG genre, and put them to work. If the budget is low enough or you're afraid the title won't sell well.. put it on the XBLA/PSN/
.
You need to rebuild the Japanese videogame industry? Start from the basics. The genres that worked 15 years ago can still work today. Realize we only buy FPSes because we're only sold FPSes. We're starving for more RPGs. Keep the budgets in check, and you'll start making money again.