Bumping with OP's permission.
I looked into this a tiny bit and came to the conclusion that in order to have Disney and Pixar separate, you need to have Michael Eisner remain in charge of Disney longer. And the reason he was let go was Roy E. Disney's campaign, Save Disney, second such campaign (first one, ironically, brought in Eisner himself to replace Ron Miller). Roy died in 2009 IOTL, four years after second Save Disney, after battling stomach cancer for a year. If he dies earlier, even if there is a second Save Disney (Roy had a partner in Stanley Gold), it might have less influence since there won't be nephew of Walt himself to spearhead this.
As far as Pixar goes, it's hard to say what exactly are they going to do after going away from the House of Mouse. One thought I do entertain myself with in this regard is that this whole experience might color Pixar's works — likely not as heavily as DreamWorks (with Shrek being an excuse to bash on Disney tropes and Lord Farquaad allegedly being a caricature of Michael Eisner), but some shades of it might be there. John Lasseter did say something about your children being adopted by child molesters, after all.
In regards to Circle Seven, they were an extension of Eisner's direct-to-video sequels tactic, and as far as their actual ideas go,
I would not call them groundbreaking. Their Toy Story 3 proposal is the only one I personally found solid enough, others are just
meh and retreading the ideas of original films. Depending on how Disney turns out, the fate of Circle Seven can go a few different ways, from breaking into something original and going theatrical (how
successful it would be is a different matter) to being folded into a different Disney studio.
If I'm being honest, I'd enjoy a TL about Disney getting screwed — there's not enough of that on this forum. This looks like a good starting point for that.