I am curious, is it "absolute fact" that Square is getting just one rep? I've been wondering how many Cloud fighter purchases were, along with Cloud amiibo sales were made with Smash 4. If it was very "successful" and popular for Square.
So, back in 2015 or so when Sakurai again approached Square to add Cloud as a BASE fighter for Ultimate, could it have gone, in simpler terms: "Sure, you can make him part of the base, but we want another 2 fighters as DLC.
We know Sakurai's goal was to have "everyone in" for the base roster, so he had to cooperate with them since they held the cards so to speak. He wanted something again. For marketing reasons, Square could be promoting a DQ fighter, despite the nightmare of jumping through hoops. The reason? DQ is not as popular in the West, but maybe having a rep on Smash would add attention or maybe a desire for the Smash player to play a DQ game. Square later announces the new DQ on the switch. However, they would not make much money from this DLC figher compared to Cloud, since this is more of an advertisement/investment as oppose to making money from the sales.
Here is the way they make more money since there are less financial hoops to jump through: Have Geno as the second DLC fighter. Reasons:
1.) He has been publicly called for both by the fans (a vocal popular third party character) and even Sakurai himself has said he would like to use him.
2.) it would be simpler to implement since there are less financial & copyright hoops. That in turn means more money for Square.
Just a thought I had. I know there has been leaks about the first DLC fighter be a Square Rep, but does that mean they just get the first one?
Edit: I am using DQ rep as an example since it is not popular in the West, but it is in Japan. To gain more popularity in the West, using Smash may help increase the demand and desire here in the US, even Eurpoe, especially if they put the new game on the Switch. The Switch is like the Wii in that it is very popular and is selling very well.
The same arguement, in a way, can include Crono IF Square is wanting to put in on the switch to revive the franchise, be it a Port, Reboot, Remaster or sequel. Again, since relations between them and Nintendo are warming AND the switch is popular, a new Crono game could be a good choice on the switch as well.