It's a shame nothing came out of this (other than the tech demo of course!). It did look mighty impressive for the time and it is kinda nostalgic, even though I have known about this for 5-6 months. It just reeks of typical 1999-2000 xD
It also reminds me of Morrowind quite a bit! Which reminds me, I should try out that Morrowind Overhaul mod, it looked fantastic! 😁

I think part of the reason this didn't lead into anything is because game developers were too busy with their own engines at the time which were impressive in their own rights. Descent 3 with its Fusion Engine, supporting seamless transitions between underground and outdoor environments, came out halfway through the year, and Quake 3 came out just as the year was ending and we all know what its engine was like!

And yes, it does remind me of Morrowind quite a bit!