We've known about Frank getting cut for a while, just been officially confirmed
And they're thinking about Phoenix Wright
"As for Frank West, he was actually in the process quite deep, and in one of our high quality CG trailers he was actually part of it," Niitsuma told VideoGamer.com at the end of last week. "But we've taken him out, due to the fact that we've foreseen some extra work involved, just from the nature of his moves. We felt we could direct our resources to better use, so we've taken Frank out."
"Phoenix Wright is obviously a famous franchise - especially in Europe, actually. It would be interesting to see him, although he distinctively lacks the number of moves he might have [in a fighting game]. But if Marvel vs. Capcom 3 does well, he's definitely up on the list as one of the characters to add, given the chance."