With the knowledge we have now from the other FNAF games and media, it's possible to provide a more complete interpretation of the lore of FNAF 4. Here's an updated analysis of the game based on the current understanding of the series:
The player in FNAF 4 appears to be playing the role of a young boy who is being haunted by nightmares about various animatronics, including Fredbear and Nightmare. These nightmares are believed to be the result of the bite of '83, in which the protagonist's younger brother (crying child) was bitten by Fredbear and later died in the hospital as a result.
As the player navigates through the game, they must survive a series of nights against the animatronics, including Nightmare Fredbear. As the player continues to survive the nights, they begin to see various secret rooms in their house, including a hidden room behind a false wall in their closet. This room contains a plush doll of Fredbear, which serves as a security camera system that the player's father, William Afton, can use to monitor his children in their bedroom.
As the player continues to explore the house, they also discover that there is a hidden bunker beneath the house, which serves as a test lab for various animatronics that William Afton has been developing for the FNAF franchise. This bunker contains a variety of dangerous and haunted animatronics, including Nightmare Fredbear and Nightmare.
The player's father, William Afton, has been experimenting with the concept of remnant, which is a supernatural substance that binds souls to objects and gives them life. Afton has been using the souls of his murdered children to power the animatronics, and the events of FNAF 4 take place during one of his experiments to create a new haunted animatronic.
Overall, FNAF 4 is a complex and multi-layered tale that is heavily influenced by the concept of soul splitting and haunted animatronics. It provides important background story to the series as a whole and reveals the darker side of the fnaf franchise.
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