Ah, I just don't think 2500 people is enough to cut it off, especially given that they claimed to have wanted enough GMs. If you filter out all of the fandom roleplays that (and I don't mean to offend when I say this) anyone can make and look at how many people make roleplays, which in my experience is about one in 5, means there's 500 people willing to make roleplays. Now filter out all the carbon copies of super heroes and school settings, which is again in my experience about 3/4, leaving only 1/4 you're left with 125 interesting roleplays with genuine original thought. We have 10 sections, so if we were to assume each was used equally, which they aren't, you're looking at an average of 13 good roleplays with GMs and players dedicated to seeing it through to the end per section. Consider one of those sections is "fantasy" which can mean anything between Lord of the Rings and Star Wars, you're not looking at a very high amount of original ideas. As far as management goes, most managements on roleplay sites comes from GMs and if a player really does start some issues the use of the report button.
Maybe my inner cynic is just telling me these guys are wanting an excuse and don't really want to tell us why. I think it would be more fair to say its a temporary state while they work on all the site updates that we go through every 3 months.