The project is stronger now than ever. Check out the boards, the fighting has been kept to a minimium. I can't remember the last time I saw a decent flaming match on the forum. The few trouble makers we have left (mainly due to the client files not being handed out) are dealt with quickly and painlessly. Take the Wiki. Some child got pissed because we don't hand out client files so he trashed it. How long did it take FNW to restore the backup? If I recall once he found out about it not long at all.
I don't think the sentiment that "we do this for free, blah blah" hasn't come up in a long time. Personally, I help out because I enjoy database work, and solving problems. I think that most of the other active folks have similar feelings.
The current version of Emu is by far the best ever, and not because of added features. FNW and Doodman have both hammered out many bugs and problems with the code. Check the changelog, you'll see fixed this, corrected that, or added this nifty new feature that will help us track down more problems.
The problem isn't leadership. Leadership in our community historically has been a bad thing. Whenever somebody was made lead this or moderator that that's when all the trouble starts. I guess we are a group of anarchists but hey it works.
If anything, our problem is lack of community contribution. I don't think that's entirely by choice, however. Many of the folks I talk to on here don't have (or more preciously don't THINK they have) any skills that can be of any use. I sometimes suggest things they can do, but many times it goes over their head so they give up anyway.
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