I've recently been looking through the files of KQ7, looking at the 'unreleased.' material, and found a few more interesting things.
One thing I discovered was a chapter select menu that shows seven chapters plus final movie, one chapter longer than the released game. There is also a toggle for turning hotspots on and off one can only speculate that this would have allowed players who wanted more of a challenge to have it.
As for seventh chapter, as people might have noticed the released chapter six is somewhat choppy and less interactive than the final version, perhaps the extra chapter would have given Valanice more interactivity as she moved around with Edgar. Or perhaps the ending in Etheria would have been part of chapter seven, and the cut scenes with king Graham would have been the true finale.
Also in the files are an animated eye cursor, and walk cursor. As well as a hand cursor. There is also a cursor that looks like a hand stop signal (perhaps a loading/wait cursor), and a strange scroll and cross bones cursor. This seems to suggest that the development team at least toyed with the idea of maintaining the more advanced interface of KQ5 and KQ6. Once can assume if they had taken this route, the game may have had a narrator, or at least the playable characters would have given their thoughts on what they could see on screen, when using the eye cursor. It would have at least added more interactivity (something Telltale should keep in mind).
I'm not sure I this made it into the game, but there are a few frames of animation in which Rosella's dress gets high enough above her legs to show off a bit of her undergarments, a strap of her panties...
I haven't gone through the messages and sound files again yet, but I remember there are many bits that didn't make it into the game, including Rosella's encounter with Attis just aftet the point in time that Valanice and Rosella missed each other passing trough the were-woods.
You can see more of notes and screenshots of cut material here (I'll add more stuff when I get the chance);