It's a considerable problem. Decentralization is at stake.
I don't understand why Gavin is pushing for an automatic block size limit increase that will make this problem only worse (I think the block size limit should be raised by demand only, not in an automatic fashion). Imho it's a totally wrong perception of priorities to aim at including as many transaction as possible without costs while the foundation of the whole network is in danger.
Enabling semi-full-nodes via pruning is extremely important for network health.
ya.ya.yo!
Just because the
limit as to how large each block can be is raised does not mean that the actual size of blocks will increase. The actual size of blocks will increase up to the block limit based on the amount of on-chain transactions that bitcoin has.
I would say that the main reason that we are seeing less nodes is because people no longer need to run a full node in order to run a wallet. I think this will be reversed as more companies start to accept and use bitcoin. I would predict that companies like exchanges, merchants and payment processors (like coinbase/bitpay) will be the primary operators of nodes as they have a very good reason to want to have a full node (and really a well-connected full node)