Role-playing game powerhouse Square Enix have put up a teaser site for an upcoming online merchandise store. Though we're not expecting software titles to be sold, figurines from Dragon Quest, Kingdom Hearts and Final Fantasy are likely (we saw a huge display of fine-crafted figures from those series at Tokyo Game Show last year) and probably clothing with various logos.

Our prediction for best-sellers? Anything with a Slime character on it: key chains, styluses, plush dolls, etc. Our prediction for worst-sellers? Anything sold with actual slime on it. Ew. No date has been given for the grand opening of the store.

[Via 1UP]

Though the exact word used by the Financial Times article is "over-engineered," a word we deemed too complex for today's headline. Yoichi Wada, chief executive of Square Enix, feels that consoles such as the PS3 and 360 are over-engineered and out of place in today's gaming market, noting that handheld platforms will be the ones to dominate this year. After handing Dragon Quest IX (and thus the keys to Japan) to the Nintendo DS and inundating the PSP with remakes, Wada's belief should come as no surprise.

"There is a new breed of gamers in the market – we have to make games for all kinds of people," he says. "In the old days, we could just focus on the PlayStation or the GameBoy, but the environment has changed completely." It's the same story we've been hearing for months, that one filled with flailing grandmas and casual players shouting "Blue!" at the top of their lungs. Wada isn't giving up on the hardcore gamer just yet, though. Despite thinking that "there are too many specs" on the more advanced systems, he reckons they'll fare better in "a year or two years." Isn't that about the time Final Fantasy XIII comes out?

Star Ocean has remakes. Final Fantasy has remakes, as does its spinoffs. So why shouldn't Square Enix delve into Dragon Quest's extensive catalog and return to some of the older titles?

Square Enix CEO Yoichi Wada confirmed that remakes are being planned prior to the release of Dragon Quest IX. "This summer, we'll release Battle Road in arcades and Sword for the Wii," he said during a Q&A session following a financial briefing, according the online version of Japan's Mainichi Shimbun reported by IGN. "Following that, we're thinking of a release for 9 once we've released remake versions and so forth."

As to which games will be remade and what the "so forth" means we're not sure. Also, seeing as Dragon Quest titles have never quite reached the same popularity in North America as they have in Japan, these releases may never be released outside the region.

[Thanks, Rob Accomando]

The appropriately-named Albert Art sent us a collection of some of his videogame-themed art. Though we do like the one where Mega-Man's dog Rush leaves his owner a power pellet, we love the look on the lower slime's face as his bigger sibling gets stabbed (and ultimately, multiplies). Check out the highlights for today:

Sony Gamers Day
Joystiq hands-on with Uncharted: Drake's Fortune
Joystiq hands-on with Heavenly Sword
Joystiq hands-on with LittleBigPlanet

Joystiquery
Off the Grid reviews some Cheapass Games
Scratch teaches game programming, commenting etiquette
Today's most is-it-Halo-yet video: Red vs Blue orientation

News
High Velocity Bowling is ... bowling its way onto PS3
Folklore journeys from the Netherworld to PlayStation 3
PlayStation 3 becomes a source of Pain
PS3's Stranglehold coming with Woo's Hard Boiled in HD
Sony announces SOCOM Confrontation for PS3
Warhawk back on Blu-ray, with beta and Bluetooth headset
Syphon Filter coming back to PSP with new features
In a 'Haze' of modern issues
Grimm news for GameTap and American McGee
ESA gets new boss, Mike Gallagher
Microsoft stands by their HD DVD man
Ignored island politician lumps V-Tech Rampage with GTA IV
PSP Store is 'long overdue,' Sony admits
Friendly free stuff reminder: Aegis Wing on XBLA
Warhawk beta starts next week, application up now
Rampage around the world today on PSN
Best Buy adds Common Sense ratings, but whose common sense?
Puzzle Fighter to be priced the same for Xbox Live, PSN
Pursuit Force dishing out Extreme Justice this Fall
Pawn shop law delays used game purchases
Microsoft booting modders off Xbox Live
April NPD: Nintendo dominates, industry sales up 20%
Eidos Montreal studio developing new Deus Ex

Rumors & Speculation
Analyst: PSP getting a 'hardware refresh' later this year

Culture & Community
Halo-wood Party: The Devil Wears Combat Boots
Forty years of video games: how are we doing?
PGR screenshot used to promote PS3 ... again
Halo 2 and Halo 3 comparison video

Contrary to previous rumblings, the upcoming Dragon Quest IX for DS will not abandon its turn-based roots for a more action-oriented system. According to the latest issue of Japanese magazine Weekly Shonen Jump, enemies will be visible on screen and contact will commence battle, where you will input commands in a turn-based style classic in Dragon Quest titles. A similar system will also be implemented for the multiplayer.

Also revealed is the ability to visually customize your main character. Weight, height, face, hair and clothing will all be adjustable. Will this affect the protagonist's immersion into the storyline? According to the translation by 1Up, Dragon Quest IX: Defenders of the Sky will be shown at a Square Enix party May 12 along with nearly a dozen (seriously) Final Fantasy titles.

[Via DS Fanboy]

IGN has some of the details for the upcoming Square Enix party in Japan, which could result in overload for Final Fantasy fanboys and fangirls in attendance. The tip of the iceberg includes:

• Dragon Quest Monster Joker (DS, playable)
• Final Fantasy XII Revenant Wing (DS, playable)
• Final Fantasy Tactics (PSP, playable)
• Itadaki Street DS (DS, playable)
• Dragon Quest Swords (Wii, playable)
• It's a Wonderful World (DS, playable)
• Crisis Core Final Fantasy VII (PSP, playable)
• Final Fantasy Crystal Chronicles (DS, playable)
• Final Fantasy XI (PS2, X360, Windows, playable)
• Final Fantasy (PSP, video)
• Final Fantasy II (PSP, video)
• Dragon Quest Monster Battle Road (Arcade, video)
• Final Fantasy VII Advent Children Complete (Blu-Ray, video)
• Final Fantasy XIII (PS3, Mobile, video)

Partygoers will also be able to play a slew of mobile game demos, and will be going home with exclusive Square Enix goodies, some of which can be seen here. Give us the slime from Dragon Quest, and we might be able to pretend like we experienced all this first-hand.

This is what happens when the composer of soundtracks for Godzilla vs. Biollante (great flick, by the way) and Enix' Dragon Quest series gets his own way. Dragon Quest fans in Japan are advised to form an orderly queue right about now, for Koichi Sugiyama and his band are coming to a town near you*! The composer, who bears an eerie resemblance to a cheerier clone of former NCL dictator Hiroshi Yamauchi, is conducting a five-date tour in venues across Japan. It all kicks off (we predict a riot) in Tokyo on February 26. Tickets are on sale now, starting at ¥3,000 ($25 in real money).

*Assuming, that is, you're somewhere near Tokyo/Nagoya/Sapporo. And if you are, check out Sugimania.

As noted earlier, a list published by UK newspaper The Independent reveals what many already assume; Nintendo's Mario is the best-selling franchise of all time. Coupled with the second best-selling franchise Pokémon (also a Nintendo property), the two series, which have sold a combined 348 million games worldwide, account for nearly 34% of the total sales of the top-twenty best-selling franchises; which include two additional Nintendo IPs ranked in the top ten, Donkey Kong and Zelda. So what's Nintendo's secret?

Cross-culture appeal, spin-offs (e.g., racers, sports titles, puzzlers), brand saturation (e.g., apparel, card games, TV shows), and E-ratings all appear part of a profitable formula built for the long haul.

Takuma Sato is arguably the world's most interesting Formula 1 driver. He has moves that occasionally serve to make one of the most predictable motorsports slightly less predictable. So that's who we picked for a quick spin around Monaco on our PS3 this afternoon. Sato's race was typically bathetic, dropping from a place among the points to a spectacularly silly retirement with one bizarre maneuver in the tunnel on the last lap. (It wasn't our fault.)

Based on our initial 23-minute playtest, these are the Good Things about PS3 Formula 1 Championship Edition:

• Really wet rain
• Feels like an arcade game
• Features the Van Halen-tastic Japanese F1 theme tune

And these are the Bad Things about PS3 Formula 1 Championship Edition:

• No multiplayer
• Feels like an arcade game
• Features the Van Halen-tastic Japanese F1 theme tune

Oh, and Dragon Quest Monsters (DS) was also released in Japan today. But we didn't buy it because we're still too Dragon Quested out after DQVIII.

1UP has again braved the bands of manga-fiending young'ns to investigate the happenings at this year's Jump Festa jumpoff. While all major Japanese publishers (and Microsoft) were present, Square Enix was reppin' in full force, offering playable versions of Crisis Core: Final Fantasy VII (PSP), and Seiken Densetsu: Heroes of Mana and Final Fantasy Crystal Chronicles: Ring of Fates (both for DS). Trailers for additional titles were also on display (see embedded videos below).

In a private theater, Square Enix previewed more new footage from its upcoming 2007 lineup, including a glimpse at Final Fantasy Versus XIII (PS3). The montage concluded with a brief flash of an armored man, grimacing as he stood on what appeared to be a battlefield. The teaser shot was followed by the words: "And something new coming in 2007."

When Square Enix announced Dragon Quest IX as a DS exclusive, many people turned their heads -- ours included. That's where Wired's resident gaming expert Chris Kohler comes in, explaining why these two commodities, announced at this moment, make perfect sense together.

From fiduciary interests to demographic compatibility, Kohler makes a sound argument in favor of the decision. It's a fascinating read, especially for those who want some insight into where Square Enix might go next.

What remains to be answered is just how many zillions more DS units will be sold from this announcement.

Today's most-watched YouTube video shows a Japanese-language financial news report on Dragon Quest IX coming out only for the DS. (Many YouTubers have Dragon Quest fever; several top videos are about the game.) Gamers and industry watchers were expecting the Square Enix property to be announced for the PS3, so the news surprised many. And the one-minute video includes a pull-back-the-curtain shot -- the best part of any announcement.

See the video after the break.

The strange and somewhat pathetic sobbing you hear in the background originates from the offices of Microsoft and Sony, where once diligent executives have now completely broken down and given up on much of their lives. Square Enix just handed Nintendo the keys to the Death Star. As if the DS wasn't already an unrelenting steamroller in terms of sales and popularity, it was announced today that Dragon Quest IX would be released exclusively on the most touchy-feely of portable systems.

In the unlikely event that you've been stuck in some sort of spatial anomaly (like Disneyland) for the last few years, it's important to remind you that the Dragon Quest franchise is one of the most popular properties ever in the minds of Japanese gamers. It was widely expected that the next instalment in the franchise would move to the PS3, an expectation that has now been crushed beneath Satoru Iwata's diamond-encrusted boot. Expect more news on the title as the week continues -- for now, all we know is: it's being developed by Level 5, it supports multiplayer battles and the subtitle is something along the lines of "Protector of the Starry Sky."

[Thanks to everyone who sent this in!]

Wired's Game|Life blog has posted an early, albeit vague, impression of Hironobu Sakaguchi's pair of upcoming Xbox 360 RPGs, Blue Dragon & Lost Odyssey. During today's media briefing in Shibuya, Japan, Sakaguchi took the stage and demoed (read: picked up controller and played) his studio's new projects.

While Game|Life doesn't provide many specifics, its post does draw some big comparisons, describing Blue Dragon as a fusion of Dragon Quest and Chrono Trigger, with "maybe" a dose of Grandia. Game|Life notes that enemies are on-screen (i.e. no random battles) and that the Job Change system (from Final Fantasy V) is featured in Blue Dragon.

Game|Life's description of Lost Odyssey is even more provocative, as it declares the game to look like a "much more dramatic" Final Fantasy. We're sure that Microsoft has its fingers crossed that this impression will stick -- and spread. We'll hit you with our own from the show floor in the coming days.

In the meantime, see for yourself:

• Blue Dragon
• Lost Odyssey

According to numerous reports, Nintendo Power has confirmed six Wii launch titles:

• Dragon Quest Swords: The Masked Queen and the Tower of Mirrors (Square Enix)
• The Legend of Zelda: Twilight Princess (Nintendo)
• Metroid Prime 3: Corruption (Nintendo)
• Rayman Raving Rabbits (Ubisoft)
• Red Steel (Ubisoft)
• Super Monkey Ball: Banana Blitz (Sega)

While this list will surely double -- or even triple -- in size as we draw closer to the console's launch, one game that will likely slip out of the launch window is Super Mario Galaxy. Link and Samus will just have to hold it down until the plumber returns in 2007.