I'm wondering if that's part of the whole "Oh we never said that" thing. A way to try to undo the damage they've done. They canceled all the contracts of books that weren't ready to go... so at a certain point, they're going to run out of new releases. They said they'd open for new submissions internally, but dollar to donuts most of their authors are going to raise an eyebrow and not send anything in. Why would they?

Why would they??? There's no trust anymore.

My guess is that they'll open to outside subs in fairly short order, but those authors who are savvy will back away because it's a hot mess.

I suspect they will not get nearly the quality submissions they once got. After all, there are so many other options open to authors other than submitting to a company that seems to be trying to gaslight its authors.