> it seemed like they must either not be familiar with his work and character (almost inconceivable in Japan) or that they desperately needed a dose of reality
Perhaps it was neither of the two? From a recent Dwango event, the team has shown that they have reflected upon it (if you watch the event, they mentioned a few times that they have been scolded by Miyazaki and even conducted an interview with him[0]) and develop a pretty interesting game called ARTILIFE[1] (tldw; MMO tamagotchi?). Overall it was a good turnaround, I think.
> the team has shown that they have reflected upon it
My point exactly. Miyazaki offered them genuine feedback ("a dose of reality") and they, to their credit, apparently acted on it. It was hardly, as the OP posted, "ugly behavior"; if anything, it was "beneficent behavior".
Perhaps it was neither of the two? From a recent Dwango event, the team has shown that they have reflected upon it (if you watch the event, they mentioned a few times that they have been scolded by Miyazaki and even conducted an interview with him[0]) and develop a pretty interesting game called ARTILIFE[1] (tldw; MMO tamagotchi?). Overall it was a good turnaround, I think.
[0]https://youtu.be/Yx7yI4MG1GQ?t=1086
[1] https://www.youtube.com/watch?v=SIF2zQam7Ds