Recorded stream right
here.
For summary.
- Breath of Fire/ Power Stone characters considered, but they would be too similar to other characters (I am guessing too similar to Souki).
- Shurato currently held by a Japanese TV company. Was intended to be in if rights weren't an issue.
- Inafune personally selected X series Zero.
- Another Female Darkstalkers character could appear in a sequel
- Speed was considered, but scrapped due to being to uninteresting outside the Mach 5. (no, they don't want to pull a Capt. Falcon, they want to keep him in his roots)
- Dante was considered for CGoH but the dev team held off to see how well DMC4 was received. If TvC gets a sequel, Dante's pretty much a lock.
- Resident Evil characters were considered "too dark" (Frank West, despite having zombies and gore, still have hilarious things in his game)
- Phoenix Wright characters would have took too long to come up with a plausible moveset and make them fit. I think there was confirmation that Phoenix made it to the concept art stages as well.