As I said: Yes.

But legally it’s not much different with physical media of games or music as well. You don’t own it. Just a copy you are allowed to use in some ways (but not others).

But besides that in reality there is a big difference, if you are still able to play it or not, if the servers are shut down.

Yes. But you can download an offline installer, that they cannot take away. So it’s sill a big difference.

Replies on reddit suggest it’s fixed already.

Yes. Prey (2017) is a really good game. Worst thing about it is that the studio forced this stupid name choice.

On the other hand I would guess the old one has aged badly.

I think this is a good video to explain the problem https://youtu.be/P55t6eryY3g