The cost of death!

IMO

What GGG is doing is missing the opportunity to grow the game and dominate the space.

Their decisions guarantee a niche game.
Perhaps that is the goal, a niche game with a bunch of whales.
Their success launching PoE2 highlighted what is working in their game.

It is about to be copied and improved on by competitors.
They are going to get mired in PoE1 drama.
They are going to stick to their guns on several contentious issues from the players perspective.

Nothing wrong with being a niche game.
It's just the players really wanted more.