1.)The only hitch here is Square Enix.
Square Enix has no desire to remake FF7. There have been no rumors, no suggestions, nothing.
2.) Now, let's say they ARE, in fact, interested in remaking it as they did for the PC. The people who did the PC remake were NOT the same people who did the original. The people who did the PC remake were not given very good resources. They did not have access to the original backgrounds and such. There were a lot of issues and it turned out looking no where near as nice as the original. IF Squeenix was interested in a remake, they would do the same thing they did with the PC version.
Sure, it would be nice to have one of the first 3D FFs remade for the DS and it would kind of make sense in lieu of the recent spin-offs and sequels released based on FF7, but Squeenix has shown no interest in it and the end result could end up looking like crap. If Squeenix was interested, it could definitely happen, but it probably will not.
1.) You might want to read what Yoshinori Kitase has said in recent interviews, he said if there is interest, then it is something they would consider. However, in the same information I read, Tetsuya Noruma said he didn't know of them planning anything. So at this point anything is possible. But I dunno where you've been getting your info from because there HAS been talks about the game being redone... and I quote
QUOTEBut, as usual, all isn't necessarily lost. Yoshinori Kitase, overall director of the FFVII series, followed up with, "However, when we ask the staff who are making FFXIII why they entered the company, there are many people who say, 'I'm an FFVII fan, I also want to do a remake.'" To this, Nomura added, "We of course know ourselves what the fans want so we'd like to continue thinking up a variety of things. As long as there are people who want to make it and people who are waiting for it, we don't want to proclaim 'the end.'"