[ Summary copied from Dub on the /r/fnaftheories Discord ]

The children's souls are trapped within the animatronics which results in them not knowing what is real or not, while the blending of the digital and mental causes them immense trauma.

One of the most prominent themes in FNAF: not being able to distinguish between what is real or not.

Dreams are still important to the franchise, but much more so than Dream Theory ever suggested, as the dreams can influence the real world as much as the real world can influence the dreams.

Network Theory's goal is to explain FNAF's paranormal in a fundamental way in order for it to be applied elsewhere in the series. It is a model consisting of a few simple rules, which can be used to figure out how the various paranormal situations in the series work.

There are various pockets of BV's memories spread across the Flipside (the land of broken spirits) and some spirits have ended up within these memory pockets. FNAF World and the HD minigames of FNAF 3 are examples of such memory pockets. 

Human emotions can influence the Flipside, where in high enough doses, can give birth to an entity representing said emotion. Agony is one of the most powerful emotions, which results in the majority of these entities being agony creatures (agonisms). Their goal is to consume agony. They travel around the various memories, dreams and nightmares of the Flipside, and maybe even the human minds of the real world, hunting for said agony.

As time goes on, more connections are formed (via emotions) between the memories, dreams, and nightmares of the Flipside, but also with the real world. Everything becomes more interconnected over time. This is why some characters see things they haven't seen before, and why various dreams and nightmares are connected to other parts of the series. Mind altering devices allow for connections to form more easily between the Flipside and the mind. With the Pizzaplex being a giant AR hub under the Mimic's control, the Mimic now has some influence over the Flipside.

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Here is my interpretation of what the network theory is trying to do: it is like if a scientist was trying to figure out how the fnaf paranormal works. They collect a bunch of evidence regarding it and then they create a model that explains how the evidence comes about. This model can then be tested by checking it with other pieces of evidence, probably new evidence that comes from new releases. 

Here is a perfect example of the model being tested: in network theory, memories/consciousness/AI are connected via emotions/agony. Agony creatures travel between memories/consciousness/AI via these connections in search for agony. An example given in the original post is the ballpit Springtrap leaving the Ballpit memories and entering Oswald's consciousness.

Now, we can apply this model to a situation not given at all in the original post: Shadow Bonnie's fnaf 3 minigame. What do we see him do? He travels back and forth between the other fnaf 3 minigames, i.e. memories. This is exactly what the model suggested could happen