Now that the dust has settled, I want to voice some thoughts about the future of newcomers at this point.
1. Sephiroth just blew open the doors on the idea of 3rd party franchise double-dipping, and from the same game no less. This widens the door for many, many candidates, such as Eggman, Chun Li, and Zero, who can now argue with little fear of retaliation. The problem is...
2. There have always been more characters that would good additions to Smash than there are spaces for those characters. Now that pool's drastically widened, while the number of available slots remains the same. Many, many more now-hopefuls are going to be disappointed at the end of all this.
3. I have a feeling that this, Sephiroth, is going to be the peak of hype at this point. Steve into Sephiroth is a double-whammy of sheer popularity coverage that no one else can really rival, and in fact I feel that whoever's left may not be able to rival those picks.
In fact, if I'd wanted to pace these reveals out so that we don't end on another sour note, I might have made Sephiroth the final character to be revealed because he'd just be so safe in terms of guaranteed excitement, especially because we already had Steve prop up everyone's expectations. Having this double-whammy back-to-back reminds me of how we moved quickly from Joker to Banjo to get people excited for the Fighters Pass, only for everything to go downhill afterwards. That's what I'm afraid of - that 2021 is going to be a downhill slide in terms of big-shot guest stars, especially since Sephiroth likely cost Nintendo some really pretty pennies to get.
4. Squeenix is probably kicked off the pool at this point. It's hard to imagine a DLC budget where you can afford both Sephiroth and someone else from Square Enix, let alone Sora. (If Activision is still charging millions for Crash, then this'd be a bad omen for him too.)
5. Despite Sora and Geno having such vocal fanbases, they went with Sephiroth, a guy with relatively little vocal support yet a subtle pervasive effect on Japanese pop culture. Curious, eh?