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Oh, come on, this ruined 3DO; a lot of time, effort, and finances were spent on it. The game failed, and 3DO couldn't recover from that.
The bankruptcy of 3DO is completely unrelated to the games they owned. In the early 2000s, 3DO released a console under its own name. It failed in sales, which led to a financial crisis. Partly because of this crisis, some members of the old NWC team were effectively removed from working on M&M9 and Heroes 4. Although Heroes 4 and M&M9 were successful (at least financially), it was no longer possible to rectify the situation, and in 2003, 3DO announced the company's bankruptcy. NWC did not continue to exist without 3DO.
Why should Heroes be "gloomy"? No, the graphics shouldn't be like in the fifth game (there's still a lot of cartoonishness there). But look at the first five M&M games and the first two parts of Heroes. These are classic games in the series, and there's no noticeable gloominess there. The level of gloominess should be like in M&M6-8 and Heroes 3-4.
XEL
