Square Enix is in the middle of a leadership reorganization, resulting in long-time President Yosuke Matsuda stepping down from his position. Unfortunately, this may just be the restart of a massive corporate restructuring if we believe the rumors.
A report shared in the Gaming Leak and Rumors subreddit say that Square Enix is having a corporate crisis. User Taichi_Aoki said that sources within the company revealed that internal turmoil amidst poor sales of Forspoken, and the franchise's most recent AAA titles, might result in the delays of Kingdom Hearts 4 and FF7 Rebirth.
"The recent flops are leading Square Enix to sell off internal studios (including For Spoken) and more staff cuts in the Tokyo, China, London and Los Angeles offices," Taichi_Aoki shared. "The entire management and project staff is changing drastically due to some choices made in recent years."
The user adds, "As for the games in development, they are proceeding according to plan, although there will certainly be some upheavals with release dates. The internal resource lets me know that the company now wants to be careful with its flagship IPs because they are in a very delicate situation with investors."