I think I figured out why Todd Howard seems to have tried to make Fallout die; he never wanted to buy Fallout, but was pressured by Zenimax into purchasing a second IPin case The Elder Scrolls ever fails.

Fallout has always been a backup to The main Elder Scrolls games in case he makes a mistake. If Fallout succeeds in a massive way, there is a chance he will have to start giving it more resources than his own pride and joy.

It's classic step-parent mentality. The suits made him into a step parent, so he managed a quick skin over oblivion and just copied bits and pieces of the first games stories like a high school student copying a book report from a book he never read. He didn't really care about the substance from the previous games, but there was a lot of old concept art they could mash up and the 50's aesthetic meant they could save a lot of money on licensing fees for music.

Then is sold big and ruined his chances for quietly making the story go away. But Skyrim was a huge success which should have made the idea of a second IP unnecessary. So, they decided to focus on their new game and let a company known for doing cheap sequels for other game companies IP.

Personally I wonder if Todd Howard was actually paying attention to who Obsidian had on staff, or if he just wanted a company who was willing to take the millstone from his neck so he could focus on the game he really wanted to make. The reason I think that Todd didn't know who Obsidian were is because of how he treated the next company who he let play with the Fallout IP.

Fallout 76 was the only other title made by a mostly outside developer. I say mostly, because they were a newly acquired studio who had no real experience. Which led to a failure in Fallout 76 from launch. Compare that to how ESO was put together. It was built by Zenimax Online a core studio designed just for an online MMO Elder Scrolls game. They weren't forced to use the single-player Gamebryo/Creation Engine. It was designed as it's own online game.

Fallout has been consistently designed to fail, which is why Microsoft should just remove it from Bethesda and get someone who understands the story and is willing to follow the real story Canon make new games. We're in this issue because Todd Howard has been forced to work on Fallout, which is amazing how even with him trying the screw it up, we still enjoy the Fallout world.