https://www.polygon.com/2018/11/7/18071936/super-smash-bros-ultimate-mr-game-watch-racist-move

Nintendo intends to patch out offensive imagery from Super Smash Bros. Ultimate, after fans pointed it out following last week’s Nintendo Direct. A racist depiction of Native Americans included in Mr. Game & Watch’s move set led to widespread criticism, prompting an apology from the company.

A Japanese livestream hosted after the Nintendo Direct showcased Mr. Game & Watch, the throwback fighter who draws on Nintendo’s early portable game history, using an attack where he dons a feather and torches his enemies. The silhouette comes from a 1982 Game & Watch handheld, Fire Attack, where players are a cowboy warding off Native Americans that set fire to his fort. When Nintendo included Fire Attack in the Game Boy Advance compilation Game & Watch Gallery 4, however, it removed the feathers and headdresses from the Native American-themed characters.