I don't think he was hyped to be Shaq-like dominant offensively, maybe Ewing-like at the very best. I often compared him to Ewing back then, not offensively, but his size and athleticism was similar to Ewing and they were both shot blocking extraordinares. I think people back then acknowledged that he was a pretty mechanical offensive player at that time, he didn't show a great touch around the basket (although it was decent), and he didn't have much going on as far as post moves go. Shaq was similar coming out of college, but Shaq was a special case. They did blame his lack of production on his wrist injury, and it's probably true to an extent, but his offensive game was still fairly raw in the analysts' eyes.
I doubt they extend a qualifying offer to him since it's like 9 million. I'm pretty sure that someone will suck him up, it's almost a guarantee that someone will give him a decent sized deal on the off chance that he can make it back and be solid back up big with some upside. I don't know if he'll sign a cheap deal with Portland out of guilt, and I don't know if Portland even wants the memory of that number 1 pick still looming around.