The major thing is, outside FF XIV, Square's major attempts at large live service games have been a disaster (See Avengers). Everyone talks about the massive success of the ones that land, but then forget to look at a lot of colossal failures that become dead games fairly quickly (Anthem anyone).
I think the issue with Live-Service or F2P focused games for studios, is you really have to frequently pull people away from communities they are involved with and sell their peer group on it too. I play 99% single player games, so I constantly move on. They get my cash, and I enjoy the product. The brief time I played GTA Online heavily (in like 2014), no other live service game was likely to pull me away. That likely applies to the whales in COD, Fortnite, WoW, FF XIV, Destiny, Fifa, Madden, NBA 2K, GTA Online etc. A great single player game I might invest 40 hours or more into, people put astronomical hours into one single live-service. So, while I never put that much money into one game, I likely will spend a decent amount on release date of games I want to play (now how MS's can justify it with lack of gamepass growth is going to get interesting and potentially troubling).
Look at WB Interactive. the one game that crushed sales was working on the Harry Potter universe for an open world game single player. Whereas their last two releases that targetted live service were absolute disasters (Gotham Knights and Suicide Squad) with a valuable IP attatched.
All AAA means is that the game has a substantial budget and is backed by a large publisher. I think most would consider Resident Evil and especially Assassin's Creed to be AAA.
They don't even need to be backed by a large publisher for example CDPR is self published and so is Remedy, and Cyber Punk absolutely is AAA, I'd say Control and Alan Wake 2 also are. Just have a substantial budget which in most cases requires a large publisher to finance. RE and Assasins Creed/Far Cry etc absolutely are AAA even if I'm not a huge fan of any of those franchises.