I sure do love hearing about how some (relatively) creative enterprise gets big for being original or at least kind of different, stops being creative because they don't want to take risks and just milks their past successes, then gets bought out by a huge conglomerate, who then shuts them down. I just love it. This is a great cycle produced by a wonderful system.
Rooster teeth made the Rvb machinima which was really bad and most certainly problematic (I haven't seen it in 2 decades). The only reason why it's remembered is because it was one of the first. Apparently it now has like 20 seasons and uses blender instead of a Halo game. They also made the Rwby anime and, from what I remember from the hbomb video, it was consistently really bad and repeatedly failed at basic storytelling. Its only saving grace were the fight scenes animated by the Master Chief/Samus video guy but he ended up dying. They eventually used racism as a plot element but handled it really poorly, and one of the writers made creepy comments about one of their characters who goes to some type of school.
This sucks for the workers but in a sane world rooster teeth either wouldn't exist or would have died long ago.
yeah they got better at making stuff (well, they got more money to hire people who were better at making stuff) but they never quite nailed making a coherent, cohesive story, they were better at gags and one-off cool action scenes