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If there is a smudge on the disc near the outside rim, the game will hang at this point. Instead of going to a frozen or black screen, you will see Tidus run and hide behind Auron, then they continue to look at a point off screen until you reset the game. That section of the game is rendered in regular graphics, not FMV (full motion video). What causes this? Changing sectors. The PS2 laser switches to the next sector of the DVD at the exact point Auron says "look". On a standard PS2, the cpu then calls up a preloaded FMV to mask the load time/sector change, like the random battle swirling or glass breaking cinematics.
Solution? Clean the discs, really well. Also look into getting a kit that can clean the laser/eye in your PS2. They should be relatively cheap to find. Even the slightest smudge or fingerprint on the disc can cause this to happen, so make sure everything is dust free, smudge free, and scratch free.
I hope it's that simple so you don't have to spend money trying to make it work!