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Exactly, in the end we all want quality vs. quantity. They could easily cut this down even more by making it relational to grouped friends with a priority score attached to each group. Who cares if a friend of a friend of a friend did xyz with abc app.
I still believe that even though the old ones are running the show like you said that if a new one were to come in and do things better it wouldn't have to rely so much on viral activity as it's primary means for installs. Remember, there are a ton of crap applications, and there are reasons they don't spread.