When I ponder this situation, I think of the movie Margin Call. Its a great movie, which I highly recommend. In it, one of the core threads is that the company in question deliberately begins the 2008 crash in order to be the first one to sell off its shit positions to ensure the survival of the company. In doing so, it goes scorched earth on all of its customer base and all the traders torch their own careers for a big one time payout. Basically, everyone knows the mountain of bullshit is about to collapse and angles to be among the least affected or even profit from the collapse.
I think that a lot of the people involved in this are behaving in a similar manner. The actors all know its going to fail, so they cash out as big as they can (RDJ foremost among them) and the studio heads behind it are basically going all in because they still get their golden parachutes either way, so may as well aim for the fences one last time. The only real potential casualty here are Disney and their share holders, who are almost certainly going down in flames. This thing simply costs too much money to be successful and the Mouse is not as flush with money anymore for a move like this to be viable long term. If it somehow works, they still have the same issues with aging fan base, woke infestation, and older characters moving on that they have now. So we are seeing a lot of people cashing their chips in and trying to leave the casino before it gets torched by the mob.
If I am Sony, as bad as I have handled the entire Spiderman IP I am doing everything in my power to stop the Mouse from dragging me down by fucking up my characters. I cannot see Sony signing off on killing off Toby SM unless he specifically wants out.