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Congestion issues from demand are familiar territory for Final Fantasy XIV. Square Enix has increased capacity for instances after high demand from the new Island Sanctuary feature and indoor housing nearly-maxed servers, warning of continued high demand.
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Personally I tried out the "Island" bullshit, it was exactly as I expected - more "gathering/crafting/growing minigames" grind, so I quit after like 20 minutes and have absolutely 0 plans to ever come back to this area (the cosmetic rewards that you get for the new sanctuary currency aren't attractive enough for me to torture myself with all that grind).
Don't think that is the issue this time. Since Island Sanctuary is gated, only a set amount of players can enter.
I get the feeling that this content is for the top 5% who have grinded most of the game already.
How many times is this now?
Well, we know the routine by now. YoshiP will apologize. The FFXIV community will rally around to defend and explain it away as "suffering from success". Worst case, YoshiP will turn on the alligator tears, and it'll all be forgotten as he's showered with praise as being "the best MMO Director Ever!!" for crying.
There's a lot I enjoy about FFXIV... but the second-hand embarrassment at seeing them fumble the ball every single time is real. You can set your watch by it at this point.
What's the last time they released any new system, or major content in this game that wasn't broken and/or they weren't completely unprepared for?