Playstation All-Stars Battle Royale

[Mutsukki]

I assumed by the little bars above the character icons that the game used a health meter

I was thinking those were special meters for some reason, you're right it's health. I guess ringouts just drain it then?

Based on what I've seen, it does not appear to be an almost identical ring out system.

In my opinion this is just as much a rip off of smash bros as most modern fighting games are a rip off of Street Fighter

Rip off is not really a good word, "inspired" would be better I guess.