Honestly, I'm surprised it took so long for something like this to happen. The rage and desire for revenge that was behind it has always been something of an undercurrent in the gaming community but most of the time it plays out over the internet so the opportunity to do something isn't there. I regularly get "fan mail" threatening me with all manner of things on xbox but it amounts to nothing more than another case of internet tough guy syndrome there.
I wholeheartedly agree with you about the effects of the 'bubble-wrapped and engineered" environment, the everybody gets a prize and everyone is a winner mentality produces entitlement complexes and a dearth of coping skills (I used to think alcohol was a coping mechanism, that was an unpleasant learning experience).
The question is, what do you do about it? It not only requires a change in what is currently a successful business model but also a major shift in thinking, one that will be uncomfortable at the very least for a lot of people.
I am too. I used to game a lot once upon a time and the emotions tend to run high, especially with calls for cheats etc. Throw in fame, fortune, rep and a general lack of deep social interaction and put them in the same room.
For many, it is lost. For some there is hope as they move toward creativity and society again. Hopefully, some of what we are doing here will help a few.