The problem is that they're trying to be all things to all people, and, as a result, they're losing their niche and no one's happy, not the old players ("hardcore raiders") or the new ("casual players"). Either it's a challenging game or it's not. If it's not, then you're going to lose the people who are out there looking for a challenge. If it is, then you're going to have an innate meritocracy over who sees what.
I tend toward the challenge, personally, because you encourage (require) a certain amount of commitment and therefore longevity in your player base. If you go towards the more casual player base, you might lower the barrier to entry but you also reduce the skill cap, and thereby the play life of the game per player, similar to the replay value in console games.

MMO-Champion
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