Well, hopefully they can salvage some of the work they've done and use it to buff their CVs - I believe that when a studio goes under, the employees should have the right to at least showcase the work they did on unfinished projects, in order to prove their own skills.
It will come out. Should it come out? Sure. The game does not encourage violence against innocent civilians. Yes, it does sort of glorify the extreme militarization of the police, but again, it's a game. I suppose some would worry that it normalizes the image of police officers dressed as soldiers (which is pretty weird - your Police are so geared up compared to almost everywhere else), but honestly, it's still just a game.
I like Patrick, but I'm not much of a fan of Kotaku's "here's-this-video-clip-and-a-sentence" style of "journalism". Patrick is someone with serious capabilities, and I hope that Kotaku doesn't waste them.
It looks as great as ever, but I haven't seen much of it. The gameplay they've showed gives the impression that there isn't much room for exploration, which gives me the suspicion that the graphical quality of the game was achieved by sacrificing scale and size. If it turns out that the game is 4 hours long, mostly cut-scenes and with environments that are ludicrously small, I wouldn't be surprised. I'm hoping that it won't be that - I'm hoping the game will be amazing and fantastic, but the lack of gameplay footage makes me suspicious.
It was a good game, but it fell far short of Bastion. I was genuinely quite emotional at the end of Bastion... and at the end of Transistor, I felt.... nothing. Which surprised me. The story is very vague, and while it does explain itself somewhat if you replay it and pay close attention, there are crucial elements that are left out. Also, the ending and the choices made by the protagonist didn't resonate with me one jot.
It was fun to play, it had great music, but the characters and the world felt under-developed somewhat. The Art style is good, but not for me - too much bloom, contributed to everything looking hazy and somewhat indistinct.
It was a good game - I don't regret playing it. But for many people, myself included, it fell short of Bastion, so why would it be Game of the Year for such people? I loved Bastion, but it wasn't my game of the year either (it was my second favourite game), so there's no way Transistor would be.