I would love to able to keep this thread on topic, but the only ones who can do that are mods. I'm fine with the theory of video games that keeps popping up. Larian apologists showing up to argue in a thread of worthwhile criticisms is an unfortunate side effect of being on the internet.
I think the idea that they "handed the rights back" to WoTC is an odd visualization of a very abstract legal situation. The nature of their agreement, originally or as it evolved, is not public knowledge. Two companies can alter their agreements with one another at any time without notifying anyone but whom they wish, and work on a project without it becoming public knowledge either. Projects as successful as this one rarely get shelved for good. This game is a great candidate for a reworked Definitive Edition, and consistently reiterating interest in one is an important signal for the company. I suspect Larian will return to this game in some form, considering its success and that its fanbase might not be easily moved to another product.
All that said, as I play through Act 3 again, the disconnected feel of the situation is becoming a really obvious pattern. I dont even feel like I'm in a story, just running errands. I do think that Act 3 could be much improved as an experience just by adding more reactivity among the player, companions, and emperor. More nighttime events that are not fights, maybe someone feeling conflicted about killing Gortash, or shock at the reemergence of a Bhaal cult, maybe psionic illness as you get closer to the Netherbrain. Things feel disconnected and the story needs more structure. But just adding more engagement of the characters with the events would go a long, long way.