In that case they more or less needed to show stuff early because Studio Istolia was founded with the purpose of making new games, so they needed to show what they were doing in order to attract new recruits. It's a common practice. But SE has a lot of trouble hiring people as of late (hence the recent restructuring, Matsuda is hoping this would streamline development process), so the project might be in trouble because of that.
It's not internally, it's an external company that was literally created for Baba.
No, because Stolia isn't a Business Division but a external company owned by SE
It breaks as much as any video game company does. lol In this case, idk what happened considering that the guy had a studio of his own where he was the head.
You're right, but to be fair Japan has this "superstar" dev thing that companies push and Tabata leaving like he did and Baba leaving early without finishing anything both look very unusual when they're in this "star" category.
Less so in Japan but it's becoming more frequent lately.
Uh, what? Hideo Baba was a notable name long before Square Enix hired him.