2. Is there anyway to refunnel traffic back into development?
Just gonna answer this question.
When people develop, time, effort, sweat and tears go into the product. Naturally the first thing they ask is "What's in it for me?". More specifically, they want a way to maximize their gains from such a project. In most cases the question is whether or not to release, or sell, or simply keep it to themselves.
This is my experience with whatever I have developed so far. Releasing doesn't do much for me. It's supposed to help with development, discuss ideas and maybe even get people involved. What really happens in the end is people who can do it, will do it themselves. So I'm really just releasing the idea. Leechers will take without giving. In the end selling gives me better gains. Heck, even keeping it to myself is better because then whatever private server I code for, I can code it in for the server as their "special feature", gaining e-fame to raise my e-penis on top of the money I'm paid.
Long story short, your question isn't what you're really asking for. There is development in the community, and hence your question is invalid. What you're really asking is whether or not there is a way to make developers release to the public, and hence gain development traction.
So to answer that new question, it's not impossible, but it's definitely close to that. We would need to give a reason for developers to gain from releasing. Not just gain, but gain more than they would from keeping it to themselves or selling it privately. And that's hard. Then the second part about development traction, you need a reason for people to further develop such a project, instead of just leeching off it. Or what I'd normally do, take the idea, code it way better than it was released as, then make it my own project. Then keep it to myself or sell it.
Bleh come to think of it, let's just pass it off as impossible. The current community lacks the original developer-density on a unified project, fuelled by the novelty of the idea to come up with a cohesive development team. We're better off developing in our own small development team. Then selling the code.