I disagree in terms of the context of the character arc they were trying to portray. Had kanji's issues stemmed from not knowing his sexual orientation, I would agree. But I feel that they made it clear that his orientation was not, in fact, what was bothering him, but that he hadn't learned to be confident in whatever he did choose. It was the softer side of himself that he rejected, the homosexual overtones were merely society's expectations of who a sensitive person should be.
I think it's a think that's relatively understated by fans. Ultimately, it doesn't matter whether he's gay or not. It's whether he can express himself in the way he wants without conforming to some extreme (hard-ass punk or egregiously flaming homosexual). I think fans narrowed in on the homosexual portion because it's such a hot button issue right now. But in reality, it was a much more subdued theme.
I could be wrong, of course. I just think the people who desperately desire him to be one way or another are kind of missing the point of his struggle. The people who found the depictions of homosexuals to be damning are right, however. But I think it was intended to be ridiculous: They're not the game's opinion of how gay men act, it was how the media and society think gay men act. A dark parody, if you will. All of the shadows are extremes built out of each character's own unwillingness to accept something in themselves, but ALSO society's warped ideas about what they should be.
