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Team Asobi studio head Nicolas Doucet hinted that the development team had eyed up a Cloud cameo that never got approval from Square Enix. “It’s difficult to comment on that,” Doucet said. “We really respect the choice of each publisher.”
Square Enix got greedy with the licensing fee and Sony said fuck it.
There’s no evidence for that, only speculation. It could be a number of other things, worse or otherwise.
Not surprising. I think people forgot how sparse the original Cloud DLC for Smash Bros was when compared to the other fighter DLCs.