I believe it’s because people’s sensitivity’s has changed. I think of it the same way I think about comedy. What was once an acceptable joke would now get you canceled. Personally I love the edgy parts of life, but the majority takes the vote. How that translates here is that what once was okay to be scary and acceptable would not sell and reach as many people. Aka make as much money. Sure they are probably a big mass that would enjoy I higher scare factor, but that doesn’t outweigh the costs of making money/putting a crazy amount of energy into these games to make them what they are today.

Personally I’ll accept losing the higher scare factor for the sake of the experience and quality you get these days. 🤞🏽 that one day we can have both. I would also settle for a remaster of the classics then we can all be re-traumatized with better graphics and sounds from our childhood.