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My suspicion is that you wouldn't be asking those questions if you had a degree in mechanical engineering and were on the design team. Getting a full-power 105mm to work was a trick, the difference in muzzle energy on a 120mm makes it a much fancier trick. Fancy enough the guys designing the system realized it wasn't going to work.
105mm provides breaching, HE, and limited anti-armor capability to the infantry company. 25mm, good as it is for what it does, does not do any of those things. The other issue is that the MGS was designed to utilize the mountain of surplus 105mm ammo we have around.
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