I think they're afraid to improve it because a lot of people are attached to the original version and will freak out (see all the comments lol).
Overall there is too little space for the titles and the space there is, is given to the branding of the source, so favicon and domain.
I believe the focus should be the content. The hn community overall is quite good at filtering out the nonsense, so if you go to the homepage there will be quality content and having to filter out based on source is not necessary for me.
The approach taken in your design is similar to a search engine where filtering on source credibility or appropriateness IS necessary.
While it looks “modern” I think your redesign proves that flash does not equal good UX