Well, they tried taking SVT to a larger audience, (particularly, younger) and a lot of us worried about losing exclusivity.
I guess Ford caught on that the SVT "brand image" was getting a bit cloudy.
Now, it seems they're trying to be more like a Calloway or AMG.
As for the ST "trim level," and parts offerings--I can't read their minds, but it sounds like they are trying to match companies like MINI, Mopar, and Subaru, all who offer performance parts at the dealer that are covered under the vehicle warranty. And, to offer more performance out of the box. To me, that's a good thing.
What sounds screwy, however, is that the Focus ST might only have 150 hp? If they are dropping the FSVT, and the development is done, why not give it the FSVT engine? Or, is the idea to sell more turbos? Anybody know what 2.3L powerplant they are talking about?