I think the "Release now, figure it out later" came to haunt them. By accepting so many crappy apps, the overall experience declined. They also got no revenue out of it. Yes, some of the 3rd party apps were leeches on the motherships. Many more were innocent victims. Now we have an environment of diminishing utilization, and no apps. How many people really use Facebook now more than 12 months ago? Or 3 years ago?