Disclaimer: I am assuming Reno and MarkMan to be correct in this post.
Hi there! Acceptance is the first step to recovering from whatever illness you have. Glad to see you've considered. Now read the following to continue your recovery.
Super Smash Bros. for the N64 had 12 characters.
Super Smash Bros. Melee had 26 playable movesets.
That is an increase of 14 characters. 6 of them saw decreased development time due to the animations being re-used from other characters.
In Super Smash Bros. Brawl, there is a high chance we will get 39 playable movesets (35 characters).
That is an increase of 13. However, we expect roughly 4 of the old characters (Doc, Pichu, Roy, Mewtwo) to be removed so that means 17 new movesets. This is
more than in Melee.
Now, we look at the following issue which most of you are missing: The larger the roster, the more time spent balancing the game. Yes. That's right. Balance. Every character you add, adds more time spent balancing than the character before it. There is an exponential increase in time spent balancing for every character added. I'm running out of ways to say this.
I'm sorry, but you can take your Marvel VS Capcom 2 with a bajillion characters, and you'll get that - an unbalanced game. I don't mean anything against MvC2, but character balance is not its strong suit.
Also remember, that only 2 or 3 characters in the current roster look like they might share animations (Young Link and Wolf oh jebus please don't hurt me for saying that it's just a possibility).
Now, the other things.
The Wii is new hardware. Melee ran on the GCN in 2001. Brawl is easily one of the top 3 best looking Wii games. There's been a ton of effort spent updating the visual side of the game up to 2008 standards.
The game physics has changed. More balancing required. Hi guys, this requires time too.
Subspace Emissary, Stage Builder.
And of course, the big thing: WiFi - although I'd say that's for a different team and doesn't really require the ones working on characters.
So before you go and scream about "35 CHARACTERS IS TOO LITTLE WHAT HAVE THEY BEEN DOING ALL THIS TIME" remember that it takes a lot more time to balance characters 27 to 39 than characters 13 - 26.
Then again, half of you are just babies who can't get over the fact that Ridley/Geno/Mega Man/Smiley Face probably isn't in the game.
Oh, and yes I believe 35 is the final roster number. I do believe Reno and MarkMan as legit. Considering they've been right about every fighting game leak they've done over the past couple of years, I don't see them being wrong all of a sudden because a bunch of forum people can't believe Nester isn't in the game. Hey, there's a chance they played an early build that's been changed if you really want to hold out hope

At least one of those two lives in Japan btw, so it would have been the Japanese version which comes out in less than 2 weeks.
Wow. The stuff I can rant about while procrastinating!