The problem with your line of thinking is that the kids who grew up on Beast Wars are also now adults and find nostalgia in it just as the G1 kids do for their cartoon.
I think there is room for both. I have not seen a whole lot of Beast Wars (although what I have seen was pretty good) but I love Rhinox's design and his Generations toy next year is one of the figures I'm looking towards the most. As for the beasts in Beast Hunter's I find them hit and miss. I'm fine with the idea of a third faction as well as them doing something different occasionally to keep things fresh.