On the one hand, I generally no longer support the idea of ultra high budget games with top notch graphics, due to their long development times and risk factor. If Sony isn't particularly happy about the high sales figures of their games, imagine SquareEnix's disappointment at an ultra high budget/super-polished FF7 Rebirth selling less than 10 million.
On the other hand, I'm slightly disappointed that SE decided to stick with the outdated Unreal Engine 4. I'd take a year late UE5-Rebirth with superior and more consistent visuals over what we got, especially since the 3rd game (PS5+6 CrossGen) will be stuck with or limited by the design choices and fidelity of UE4-Rebirth.
Transitioning to UE5 would have probably cost them a fortune initially, but between transitioning with Rebirth or the 3rd game, I think the former makes more sense. Looks to me that they will do neither and just stick with UE4... unless Rebirth crushes it in sales.