Personally I don't give a damn about my character not following into the sequel, especially given all the ups-and-downs regarding gear and weapon balancing. I'm pretty sure I'll be able to make a near-faithful recreation of my blue skinned David Bowie wanna be in their new engine. However, considering they used the premise that your character would follow you for the life of the franchise as a selling point I can imagine a lot of players getting really pissed off that they will have to leave their 2 to 3 year old characters behind and build a new one (e: if these rumors are legit, of course).
E2: If this does come to pass and it also means people can't carry over the emotes and cosmetics they've bought from Eververse over the last year... wooo I imagine the hate on their community forums and Facebook page will EXPLODE.