It's a perfect storm right now against existing sites/webmasters.
1) Bandwidth is becoming cheaper in 3rd world countries. More people are "webmastering" & saturating existing methods like never before.
2) Bandwidth is becoming almost "free" at high levels at hosting companies. Where it used to cost a host $30mbps, then to $20, then to $15....then to like $8 last year. And now most hosts are paying maybe $4mbps (retail) for the highest end providers. If they push even a little volume. The biggest hosts will soon be paying $0.50.
3) SE masters have set up their own tube sites. This has the biggest impact on organic SE traffic/relating to conversions on free porn keywords. People like 3pic (who runs tube8 etc), who have owned the best keywords for years, now run full length video sites & surfers only really need to bookmark 1 page now for EVERYTHING. Let me say this again....3pic & his network, are some of the best search engine guys in the world (especially with teen keywords). I am just using them as an example though. But as a search engine guy myself, I have a lot of respect for what 3pic/tube8 has been able to do with organic search. I do NOT player hate.
The search engine masters will not be able to run the show forever though. As more "legal" tube sites open on decent domains, surfers will be sent to 2min vid clips, which is no different than the old MGP style sites & the prevalence of tubes (as related to search engine queries) will become less diluted.
I think people just need to keep their head down & ride out the storm (by working hard & shutting up). If you want to do something about it.....set up your own legal tube with 1-2minute clips. Start getting your piece of organic search traffic & it will dilute the effectiveness of the illegal tubes. You can do the same exact thing with traffic trading & tube sites
