In a recent interview with GameSpot, Final Fantasy Type-0 Scenario Director Hajime Tabata revealed that Square Enix was taking a "clean slate” with Final Fantasy Type-0's localization outside of Japan. He cited this was due to "market reasons."
Before you throw away any dreams of playing Type-0, Tabata also added, “We feel strongly about bringing this title to the fans in North America and Europe, so if an opportunity arises that can become a conclusive factor, we are prepared to go into consideration right away.” So there is not a definite no, but not a definite yes either.
There had been speculation in the past that Type-0 would be released on PlayStation Vita in North American and Europe. It would be the best option for the localized release, given it'd be an opportunity to push Sony's newest portable and fix the game's shortcomings, such as graphics and controls.
Tabata did mention that he wishes ad-hoc and a co-operative play "where players could help each other at any time" were in Type-0. Other changes he would like to add include making the story more comprehensible and adjusting the game's leveling curve and balance of the magic.
How do you feel about this latest development? Like many, I have been waiting for Type-0 for a long time. After so much critical acclaim and being voted the #10 game that made Japanese gamers cry, Final Fantasy Type-0 would be a great loss to players outside of Japan if it never receives localization.