That seems to be what they're saying but I call bullshit because this doesn't look like something that could be made from a Dreamcast devkit. And yet I want it to be true.

No. One day they might get desperate enough to do something like this though. Oh wait, they already have with the were-hedgehog oe.

This is from the same glorious monsters that made Room of 1000 Snakes:
http://arcanekids.com/snakes

This game is recent and made in Unity3d. All the sega references are part of the humor.
This game is hilarious and actually well made imo.

The more I think about it, the more I think of how other games have evolved their characters. Take Raven for example: he looks different in every game, and sometimes Snake's got a 'stache and sometimes not. It's true that they age and in Sonic's universe they apparently don't (?) but a new look probably seemed like a good idea because everybody else was doing it.

But what Sega should've done is release a simple optional DLC to make Sonic look like classic Sonic again

I mean Raiden, not Raven. He dead.

it's also about the people like us who enjoy rubbernecking at the sonic fandom's excesses, and forces us to consider that we might not be any better. Notice how the ending of the game literally has you staring down an abyss.