CCP was working on a lot more stuff at that time then just Incarna.
Mainly they were switching their code over to Carbon Tech. Also the Dev team was split up because CCP was working on 3 different projects at the same time. Lastly they rushed to get the expansion out and because of that the Minmatar Captains Quarters needed to be optimized after release.
I agree, there wasn’t any actual content implemented with it but that was supposedly being worked on and would have been added at a later date. What made it fail was CCP abandoning it due to constant opposition from a specific group of players.
Those who didn’t like it didn’t have to engage in it. But oh boy, they sure did have lot’s of time to spend here in the forums constantly posting ‘Spaceships Only’ crap instead of actually being in-game doing what they claim they wanted.
And it’s still happening…