Actually, I'll point two things out: 1) It seems like most people starting new studios today are going iOS. How many people that have been in the industry forever have announced their new iOS studios? Dozens. Alex Seropian's new game, etc.
2) Remember, these guys approached Epic saying they wanted to start a studio and use some of Epic's IP. They started a studio, and they're using Epic's IP. I'm thinking this is probably exactly what they wanted from Epic (and more, since Epic financed them and they didn't expect that.)