People want tech that looks good right now. And there is reason to believe that the C300 looks better than the red at 1080, so it can still compete in the format that's currently most in demand. Clearly there are problems with Red's sensor if directors need to adjust makeup and set design to account for it, and it doesn't seem to be a problem that can be fixed in post, even in RAW.
I like the Red concept. But I've been disappointed at the quality of the feature films I've seen shot on it.
Also, I think the people working at RED certainly were not laughing, and their actions support this notion. Because at the end of the day, the Red Scarlet is just a nerfed version of the old Red Epic. After all that time, that's their new technology?
?? That should have taken them 2 days, not two years.
Lets face it, RED knew Canon was jumping into the game; but Red was nowhere close to feasible new technology, so they decided to rename old technology and just throw it out there.