Fair point, for some reason I forgot that epic came out just after release of EU.
In that case, I still think they never though the game would take off as it did when it went free to play, and I also think they never thought that so many of the 'Vets' from before EU would actually stick around.
So Epic was put in as a stopgap until they worked out what they wanted for endgame and was probably never meant to be the be all and end all of end game (just look at the initial implementation, and no offence to whoever made the first lot of epic items, but alot of them were absolutely terrible and might as well have been invented with a dartboard, I'm pretty sure I was the first person to make an epic staff of arcane power, what a dissapointment that was)
The game has significantly improved since EU which you can see in the quality of quests lately, I hope they have lots of plans for 'Epic' which they will share with us at some point.
Personally I think we might end up seeing something like the cove challenge level system, just with a better implementation and scaling.