Thanks Jeremy Stewart and disembodied potato.
Under the agreement, Nintendo president Hiroshi Yamauchi will allocate money from Fund Q--a fund Yamauchi set up in January to help encourage software development--to a new Square-affiliated development house. In return, Square will establish the new development house with help from Akitoshi Kawazu, a director from the Final Fantasy development team, by the end of this month. The Square affiliate is expected to release games for both the GameCube and Game Boy Advance before the end of the year. Square properties other than Final Fantasy were not mentioned in the report.