I think this may be a wait and see type of thing. Both will be continuing their current operations, as is, for this season. So, we aren't going to know anything for awhile. There are potential upsides to this. Areas that had little to no events from either Jammy or Varsity may now get some. That, potentially, will help gyms stay local, and not have to travel so far for US Finals/Summit bids etc. This also opens the door for some IEPs to expand into areas they haven't been before, and potentially grow their competitions. The opportunity is there for them.
Are there potential downsides, absolutely. Where I am, there aren't a whole lot of IEPs, even if we wanted to go to them. We no longer do Jammy, so it currently isn't impacting us, but that could change. There's going to be less options around here for sure, which isn't a good thing.
I miss the days when every EP was it's own entity, and they fought to make their events different in order to attract customers. Now, if you've been to one competition, you've been to them all. The only thing I get excited about now is going to a new city. That's the part I find the most depressing.