My question is was the V2 software an empeg only thing

Not sure what you mean here. Unless I missed a memo of some kind, it seems to me that all development since the acquisition of empeg, Ltd. by SonicBlue was done on SonicBlue's dime, under the Rio umbrella. D&M, having purchased that, would now own all of that software, and that would include V2 as well as V3 branches. So it would be their say as to what happens to what particular software, and formal permission would be required to do anything to it.

The coolest thing D&M could do for the community, of course, would be to say that the car player branch of the source tree isn't relevant to their future plans, and allow for its release to a very hungry development community. We all know that's not bloody likely, but it's fun to dream about.