But they did not do so. The Apache Foundation does not have experience with software that end-users use. They have experience with server software. That was their undoing.
While this was all happening LibreOffice formed from... what was it... Goo go or something like that, the folks that were behind the build system and distro patches that most people outside of Solaris were actually running. I have a suspicion that there were terms agreed to between IBM, Oracle, and ASF that prevented ASF from donating anything to anyone.
Now IBM has scaled back support and at this point it's an LGPL v APL religious war.
There were no secret deals. The Apache Incubator PMC voted on a public proposal (<http://wiki.apache.org/incubator/OpenOfficeProposal>) which included both a community and the promise of assets. Those assets were later delivered as promised. The incubation process then proceeded as it has for scores of other projects. It would have been completely inappropriate, unthinkable, for the Incubator (which oversees incubating projects) or the ASF Board (which oversees all projects) to take the assets away from that nascent community.
In accepting the proposal for a new Apache OpenOffice project, the ASF accepted not only the assets from Oracle but also a community, distinct from the LibreOffice community, that wanted to work with those assets. That community had to be given a chance. Without all those things, the deal could not have been completed.
The Go-OO devs forked it into LibreOffice and then Oracle shuttered their own work and reassigned their devs to other projects. Only a tiny handful of devs not part of Go-OO remained, and they had not been instrumental in actually maintaining the codebase as these other two groups had.
There was no community around Apache OpenOffice.
Subsequently, there were enough people to vet and prepare multiple releases over the next couple years after that.
Even if AOO had never done a single release, LO still benefited enormously from OO going to Apache, since once at Apache, there was known and public IP provenance, AND the code was relicensed to ALv2. This allowed LO to inherit that provenance, relicense their stuff on AOO as needed, and close what had been a possible nasty IP hole.