I'd say that's even worse. Look, if the tech is good enough it should survive a total rebrand. That's what they need right now. Without it, if they're too arrogant/stuckup/cocky/egotistical to make the change they're f'd anyway.
It's no longer a polite suggestion, it's a necessity. If they want to take the next step, they will need to rebrand and now is the perfect time to do it.