Although it would seem the KH team is hard at work on Vs. XII, it may not be the case. Japanese magazine "VJUMP" revealed what looks to be a KHII: Final Mix and a strange KH themed DS game. You just have to see for yourself:
LINK

Am I the ONLY one who thinks they need to just make KHIII!? Hell, the FM most likely won't hit state-side anyway.. but I would like to have a COM-esque game for my DS. :D

UPDATE: It seems DS owners will get some FFXII love in a followup of the soon-to-be-released PS2 epic. Little is known, except that you will be playing as Vaan, trying to protect your lady friend Panello. The game MAY be a prequel, as the characters look MUCH younger (yes, the two on the right of the above scan are Vaan & Panello's DS counterparts). To get a bit more info, check out IGN's ARTICLE.
There you go, dennis.. :wink: