I went to AngelHack Austin earlier this year and I thought there were a number of things that could be improved upon. The group I went with (all devs) had a terrible time. Sounds like they've realized this too.
At the ATX event, there were no demos. Not even a public presentation to the rest of the participants, we were just grilled in a closed-room session by their panel on a bunch of business questions.
The only way to get a T-Shirt was to listen to a sales pitch by one of their sponsors.
Everyone was absolutely crammed in their space. I really hope they find a new venue for Austin.
Maybe this event just went poorly but everyone I went with was really soured on AngelHack after that.