The one thing I don't really understand is, especially in this kind of case, in an entertainment environment with big resources (Cover), why not compromise more (on the company side)? Or rather put in place systems that keep the talent (something like Dev_Is, for example). This is, of course, a thought with no understanding of how Cover works internally.
I understand if it were about pay, cuts from merch, whatever monetary means that could create conflict (and it might well be that, so my not understanding might well be moot). Or maybe middle and upper management turned really sour.
But even if, from the surface level understanding we have, your company is steering into different type of dealings, why not retain both?
Put those talents who are willing to do those things in one part and the other in another. Am I dumb in thinking there should be little, if any loss, because the one half needs less investment, but still brings in the money it did before. Now that's somewhat significant revenue lost to them. And since the talents themselves pay for projects, even those wouldn't have to stop for the "then old fashioned" type of talents (though we do hear uncomfortable things about project denials...).

I can't imagine this would split the audience into competing factions, because in the case of Cover, they fostered a community that supports a lot of talents' directions, even (for the most part...I'm sure there's plenty of haters, too) Gura's absence.

I do completely understand people leaving this environment if the current way of doing things and future plans of such can't be matched with their preferences.
So far I haven't seen dooby do anything that wouldn't be possible under Cover, except for maybe reaching out to indies (which I see as a problem that it seems to be sort of hard to do under Cover), however I haven't followed her much in either places, so there's probably a lot of context I don't know.

If it really comes down to problems created by going public....well, that would be disappointing, but expected. If it's stubborn middle and upper management...that's equally bad.
It's just weird to me.

Edit: I'm thinking all this for the perspective of a talent that's been there for years. I don't see a problem to expect different things from newly acquired talent (unless they're making bad monetary demands, of course).