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Short answer is management incompetence, lack of funding, lack of direction, and poor hiring of talent.
one reason stopping them:
countless complaints about performance issues on the most mighty high performance gaming pcs XD although my old rig from '17 runs just fine ;)
next reason:
the size of the maps and the required alternative textures and meshes aswell as the rendering distance that is already in question! so basicaly again, performance issue!!
another reason:
imagine a destructable enviroment in carentan for example... after 30 minutes of shelling that city with artie, tanks and AT guns, aswell as satchels, there would be no city at all and the whole experience of a close combat street fight map would be obsolete.
in the end a totaly desctructive enviroment would turn all maps into the same flat, crater sprinkeled, no fun BS.
and releasing new maps would be irrelevant too.
and yes, the team has a problem with changing anything - remember... the original creators (black matter) where entusiastic amateurs who got somehow over their head when all became bigger.
there isnt even a AAA company that could do what you expect, the time to develop and the required PC specs would limmit their estimated profit and dump that idea long befor any thought of possible solutions.
we are not (yet??) ready to develop such games, this is not star trek, we dont have a holodeck.
technical limmits are still in place so your fantasies will not become real very soon.
at last, your generation blaming is the most stupid though at all, as if anything had to do with the time when people are born :(
as you have just proven - you dont have any clue about how to develop anything but a bad smell.
it is the economie, the turnaround and profit they can make, the same things that pay you and enable you to buy a fracking gaming pc and play a game in your far too much free time !!
UE5 will not change anything since it is focused mostly on graphics.
and that will only increase the performance issues with more HD textures and other irrelevant gimmics that have nothing to do with gameplay and the required fixes for bugged scripts.
changing the engine does only open the door for even worse bugs and glitches.