1997 was easily one of the biggest years for the Final Fantasy series, starting on January 31, 1997 with the Japanese release of Final Fantasy VII for the Playstation console. It is probably the most recognized in the series, eventually becoming one of the PlayStation's 'Greatest Hits' titles. In just a few days, it sold over 2 million copies. This was not only a great title for Square, but RPGs in general, which didn't enjoy that much success outside of Japan. For many, it was the first Final Fantasy experience. It was also the first to make use of 3D graphics and characters on rendered backgrounds. For many, there was an emotional attachment to the characters, one of which was killed off partway through in one of the Full Motion Video scenes which were introduced in the game. These became known as an unsafe place for characters. While they could get slashed and blown up anywhere else in the game, reality kicked in during an FMV. Two of Nobuo Uematsu's most famous pieces came from this game, Aeris Theme and One-Winged Angel.

The game follows the story of Cloud, a confused mercenary who starts off working with the AVALANCHE group in the fight against Shinra, a company that is believed to be killing the planet with its use of Mako energy, which is drawn from the depths of the earth. Mako energy is also known as Lifestream, which is the spiritual force shared by the planet and all living things. Things get more and more complex as Sephiroth enters the picture and Cloud slowly begins to remember his past and his connections to Shin-Ra and the military group SOLDIER. Sephiroth plans to absorb the power of the planet and become a super being. Cloud and his new mercenary friends meet some other people along the way and fight to save the planet from destruction.

Similar to Final Fantasy VI's magicite system, VII used materia (energy orbs harnessed from the mako energy) to allow characters to cast spells and summon creatures, which now had a little more character with their own attack sequences which lasted up to about a minute. The active time battle system was used once again and battles were limited to 3 characters at a time. Another feature from VI was the Limit Break (known as Desperation Attacks in VI). A separate gauge for the character would fill up as they took damage. As the game progressed, they learned more Limit Breaks.

March 21, 1997 - Final Fantasy IV for the PSX is released in Japan.

June 20, 1997 - Final Fantasy Tactics for the PSX is released in Japan. (more on this game next time.)

August 31, 1997 - After a long and expensive ad campaign, Final Fantasy VII for the PSX is released in North America, selling over 330,000 units in one weekend.

October 2, 1997 - Final Fantasy VII International for the PSX is released in Japan

November 14, 1997 - Final Fantasy VII for the PSX is released in Europe.