So I am curious, does anyone know the history behind this split in Hearts of Space, and was it prompted by complaints from the New Age listeners, or by the artists themselves, who were exploring the darker territories? It seems this shows a fundamental strangeness in the whole New Age movement, where the dark side of humanity and the universe is glossed over, or not acknowledged.
From my perspective which is admittedly pretty one sided (and 2nd or 3rd hand), it was pushed through by the Artists, particularly Roach and Rich, I think Sterns played a part as well. At the time the term New Age was already seeing a backlash in the media, so these artists wanted something that would differ them from Celtic harpists and other more New Age type HOS label mates.
The irony is from the birth of Fathom also came sort of its downfall, the Hearts O' Space Celtic music label (and another more pop oriented label called RGB). The Hearts O' Space label became over night the biggest seller in the HOS franchise, producing their first gold records. This success in turn then lead to some friction between the label and the Fathom artists. The label wanted the artists to produce music that would sell more product. But by this time it was actually too late as the whole ambient/chill room boom that had made this music some what popular had pretty much died, so sales were starting to tank for everyone. Not long after HOS sold out to a distributor, all that really remains is the HOS radio show.