You can’t build your own distro on the backs of upstream’s work, and then refuse to do the same with downstream. Even if you don’t see any value in it, someone does, it’s not up to you to decide that, or you have missed the point of open source entirely
That’s what companies like Microsoft do, or what Apple does: they prevent competitors from even existing, or from being as good.
This is not a matter of "seeing" value in what Alma and Rocky do, because their value is plainly apparent to anyone, undoubtedly including Red Hat: they're basically 1:1 RHEL clones, except you don't have to pay Red Hat to use them. It should also be plainly apparent to anyone why Red Hat would consider this a problem for their business; their main product is the effort that goes into producing and maintaining RHEL, so it is only logical that they would want to maintain as much exclusivity as possible on that product.
Alma and Rocky are competitors to RHEL in much the same way piracy scene groups are competitors to game publishers. It is obviously not a fair competition.
And the real problem isn’t really how Alma or Rocky will survive, they’ll have more work to do, but they’ll manage with the CentOS Stream code. The real issue is that acting like that will in the end, harm Red Hat’s business.
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And Red Hat flat out lying about how they’ll handle things in the future makes them utterly untrustworthy for businesses: are you going to base your business decision on what a company said today, when they already screwed you over twice? No.
No it doesn't. Red Hat hasn't screwed over their customers, they've screwed over a bunch of people who aren't their customers. Why would any paying RHEL customer feel screwed over by this?
It is possible to convert from ext4 to btrfs, but if you just installed the server it may be easier to just reinstall.