Similar studios like Telltale also ran out of funding, even with recognizable IP like The Walking Dead at their disposal. Just reading the economic tea leaves, Mixtape is the type of oddity that does direct some scrutiny towards the publisher that pushed for it.

Mixtape's story isn't interesting, nor are the characters. The protagonist has a superiority complex based on her musical taste, she doesn't have an arc and doesn't evolve/grow by the end. The supporting cast is either annoying or a non-entity. For a game grounded in reality, the characters don't act much like real people.

I think this type of game had its time in the spotlight and then people got bored by it. Same thing happened to point-and-click adventure games and Telltale-style narrative games.