You might be thinking of GCC – the current GCC is descended from a fork of GCC (EGCS). RMS agreed to let the forkers take over the official project.
GNU Emacs itself is a fork of Gosling Emacs. The original Emacs was written in TECO, a rather horrendous language. Soon, people started writing Emacs clones in Lisp – Multics Emacs, and some of the Lisp Machine editors. James Gosling wrote the first Emacs for Unix platforms; for an extension language, he invented "Mocklisp", which resembled Lisp on the surface, but lacked its power and generality. GNU Emacs started out as a fork of Gosling Emacs, adding a real Lisp instead of Mocklisp. Gosling made his Emacs freely available under an unclear license, and then sold it to a commercial firm and declared its original free redistribution rescinded. To get away from that legal problem, RMS rewrote all the remaining Gosling Emacs code.
XEmacs failed, because eventually IDEs became a thing on UNIX platforms and that is where we went, to the toolset we were missing, not Emacs.