The bunkbed style 4-person dorms have been converted into 8-person hotel pods with a complete redecoration. I'm not sure I'm a fan of my new furniture, but I'll keep complaining to a minimum in case anyone gets it in their head to challenge me for my space. I value my privacy.
I don't know if further compacting everyone is to stir up greater competition for the other rooms and an attempt to shake up the power structure. Tony has been sitting in the leadership position doing nothing with it since the beginning, I imagine they expected a bit more of a power struggle to take place given the types of people who got sorted here.