My own viewpoint is:
1 - CIG are running out of cash.
2 - They are rushing to get a MVP product out the door. They need a basic level of performance and basic game mechanics to justify a MVP moniker. It doesn't matter if that is what was promised or good...they will call it placeholder if necessary, but the important aspect is that the feature is there
3 - If they can deliver a legitimate "MVP", then it doesn't really matter how bad it is, or what is missing, or if it lives up to the hype. They can make a decent case to legitimately stop refunds, even in the EU. More importantly, it lets them avoid a certain number of legal entanglements because they would hsve delivered something.
So - as predicted by me (gonna blow my own trumpet

) CIG will likely deliver something, but that something won't be the game we wanted or that they promised. I expect a BIG rush to get the various mechanics and gameplay in place, to expand the content available, and to improve performance. I also expect a big rush to TRY and remove as much CryEngine code from the game as possible....the MobiGlass "improvements" seem to be very much an example of this as (IIRC) the MobiGlass system is built upon CE routines that aren't available in LY.
And once the MVP is out, they are legally off the hook and can sit back, relax, spend their millions and "develop the game at their own pace".
However, none of what they are doing right now strikes me as addressing any of the major issues with the game or its engine. I think they'll deliver something, but while I think the dream of the "MMO" universe is dead, they might still be able to salvage a decent enough multiplayer game out of this. Depends on how much scaling back they do, of course and whether or not the engine is too compromised to reach an acceptable level of performance. That's always been the frustrating part...CIG have had the basic foundations for the game in place for years. Star Marine for the FPS, AC for the flight, PU for the worlds and so on. They just didn't do anything with them.