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The Final Fantasy VII Technical Demo for PS3 was shown at E3 2005 to show off the PlayStation 3's graphical and processing power capabilities, very much like Final Fantasy VI: The Interactive CG Game, also known as the Final Fantasy SGI demo, for Nintendo 64 featuring Terra, Locke and Shadow in a battle, and the Final Fantasy VIII Squall and Rinoa dance scene for the PlayStation 2.

The tech demo is a recreation of the introduction CGI sequence to Final Fantasy VII, showing Cloud, Aerith, and Midgar. You can watch the Tech Demo here.

Final Fantasy VII Remake Rumors and Speculation

Following the announcement of The Compilation of Final Fantasy VII, and the tech demo at E3 2005, rumors and speculation quickly began regarding the possibility of a PlayStation 3 remake of Final Fantasy VII.

The then Square Enix president Yoichi Wada quickly denied that any Final Fantasy VII Remake was in development and that the Tech Demo was for demonstration purposes only (likely to show how the upcoming Final Fantasy XIII and Final Fantasy Versus XIII would have looked).

In 2009, Square Enix's Yoshinori Kitase said at the Games Convention, "As for a VII remake, all I can advise right now is to play the PSN release that has come out for the time being. Maybe we'll have some news for you at a later time. I'm actually working on multiple projects right now, I don't know exactly what new projects I'll be taking on after XIII, but I am working on Final Fantasy Agito XIII, too. Maybe I'll be able to focus a little more on that project once XIII is complete."

In January 2010, Tetsuya Nomura (at the time working on Final Fantasy Versus XIII among other games) said, "Fans are looking forward to an oft rumored remake of FFVII, but I don’t believe this will happen for the time being."

In February 2010, Kitase said that in order to develop a PS3 port of Final Fantasy VII and make it similar quality to Final Fantasy XIII, it "would take as much as three or four times longer than the three and a half years it has taken to put this Final Fantasy together! So it's looking pretty unrealistic to happen!" Kitase also commented that making games with the same style as Final Fantasy VII for the PS3 is very difficult, as it would take the staff too much time to create the graphics and detail; because of this, Final Fantasy XIII is "more linear" than previous titles.

In a March 2010 interview, Final Fantasy XIII director Motomu Toriyama stated, "If we had the manpower and the time to work on a project, if we were to remake Final Fantasy VII with the quality of Final Fantasy XIII it would become a tremendous project. If we can get the number of people we need by all means that would be the one I would really want to remake."

In March 2010, CEO Yoichi Wada revealed they were exploring the possibility of a remake, following the high demand. However, in June 2012, the company announced that "We will only consider this once a brand new game in the franchise exceeds the quality of that found in FF7."

Almost 10 years later, there are still demands for Square Enix to remake Final Fantasy VII, and with many older Final Fantasy's being made for various consoles and mobiles, and the upcoming Final Fantasy VII G-Bike, fans are still hoping to play an up-to-date version of Final Fantasy VII.