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In the latest developer responses, there was finally an official answer as to why they decided to abandon the old M&M world.
5. Why did the developers come up with a new world and scenario instead of using the old one? Why reinvent the wheel? Especially since the old scenario had its advantages, and many beloved heroes. The game frequently mentions old heroes, Crag Hack and Sandro. What is the connection between the old and new worlds?
The new world and scenario were created by UBISOFT, based on the fact that the history of the old world had become quite convoluted in previous installments, and it had accumulated so many contradictions and inconsistencies that it was becoming problematic to continue it... The connection, as you yourself noted, is mainly in the heroes.
Well, the developers' position is clear:
it simply takes time for everything, and when prioritizing development, we are sometimes forced to sacrifice such things or leave them for patches.
Although this quote doesn't relate to the question of the Heroes universe, it is also relevant here. After all:
so many contradictions and inconsistencies have accumulated that it is becoming problematic to continue it...
In general, the developers chose the easier option... they didn't want to deal with a convoluted plot. But okay, in terms of implementation, the developers have made a good start, which I think will continue with an equally successful climax.
p.s. I think that when the map editor is released, it might be possible to revive the old days and create a campaign that connects the Might and Magic universe with the new world of Ashan. But that's a completely different topic...