I would guess Daybreak did not want to shut P99 down because that would just enrage the community against them, but 'no more servers or we shut it down' seems likely.
I'm sure Daybreak see's 1500 people logged into P99 and thinks to themselves - "Hrrmm, that's almost $200,000 in yearly profit if we could convert that population into $10 per month subscribers...."
I have not played actual "live" EQ in a very long time but I can't imagine its doing well. The TLPs seem to be where the profits for them are and P99 can be seen as competition for that.
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