Theory is definitely not true.
Also Chuck E. Cheese didn’t just copy Showbiz.(or maybe they did idk) When both Pizza Time Theater and Showbiz Pizza went bankrupt they eventually merged and retrofitted the Rockafire Explosion into Munch’s Make Believe Band. They later decided to go back to the Cyberamic style animatronics(aka, the Chuck E. Cheese that creepily stares at you)
They went through many different versions of the band(latex masks, plastic masks, Cyberamic) before later trashing the rest of the band and replacing it with a single Studio C Chuck. I personally think he’s really cute, but I’m still sad I never got to see the rest of the band.