I think that it has next to nothing to do with technology. MIT was still reeling from the fall out with the Media Lab and Epstein. If it wasn't for that, they might have gotten by with a simple apology, but that wouldn't be enough at this point.
There is also a history of controversial stuff related to his time at the FSF which meant that probably wouldn't settle for a simple apology either (not that RMS seemed willing to give one).
As organisations change over time, what they need in leadership also changes. In this case, they didn't need an ideologue with a history of generating controversy, they needed someone who can keep the ship going forward so that the projects they are overseeing don't lose enough talent that they become irrelevant.
There is also a history of controversial stuff related to his time at the FSF which meant that probably wouldn't settle for a simple apology either (not that RMS seemed willing to give one).
As organisations change over time, what they need in leadership also changes. In this case, they didn't need an ideologue with a history of generating controversy, they needed someone who can keep the ship going forward so that the projects they are overseeing don't lose enough talent that they become irrelevant.