This is speculation, I have no direct knowledge of anything related to server consolidation.
Server transfers, on their own, made a certain amount of sense, to me. Sometimes folks just wanted to leave a server and did not want to grind back to 60, slog through journey steps, find all the recipes, emotes, etc.
But, server queues are a mystery.
Are there really that many servers hitting their connection limit?
Before I eschewed public servers, the most I had ever seen on at one time was 25, and, usually, it ran in the range of 4-7.
So, my low and suspicious mind goes to the process I have seen in other games providing free servers, consolidation as a completely understandable cost saving measure.
Things cost money and someone has to pay for them.
Just so we are clear, I see zero problem with server consolidation, based on my observations of the populations on official servers.
I am interested in the thoughts of others.
I am not interested in name-call, conspiracy, or other things in that vein.