I could care less about MLG. I play Smash because I like the game, not because I like winning money. I was a competitive shotgun shooter for several years, and ended up destroying my love of the game (sporting clays) by trying too hard to make money. Some people just can't turn their hobbies into their jobs; I am one of them, and I love Smash too much to ruin it for myself. The payouts for competitive Smash (gaming in general, really) are also too small to care that much about. This is not golf, and even MLG is not the PGA Tour; no matter how good you are, you cannot get wealthy winning Smash tourneys, and no company wants to sponsor some college kid with frumpy clothes and Dorito breath who wants to play games for a living.
That said, this whole issue is silly, and I see flaws on both sides, but more so with MLG. Two careless gamers who broke a rule (by ignorance or deliberately, only they can say) are NOT sufficient cause to withdraw a whole venue, and blaming the (unspecified) behavior of a nebulous entity like a gaming community is a serious cop-out. MLG wants money, and they disappointed a lot of their consumers in pursuing it. That's not smart capitalism, and it should come back to bite them in the corporate backside if there is any justice in the world.
However, the Smash community does have its fair share of flaws (or flawed members). I prefer to exist on its periphery, reading more than posting, because so many people are belligerent, spiteful or just plain antagonistic to anyone not in their clique. Many of the character boards are rife with elitism and bad attitudes, yet still they wonder why so few people post and why new members are in short supply. I have found that, at a local level, Smashers are the most honorable and upstanding gamers. Yet, on the Internet, so many are cutthroat, rude, and would argue with a signpost. I have never felt more welcome than at a small-time central VA Smash tourney, and I have never felt more excluded or intimidated than on Smashboards. Kudos to those of you who represent your series well; this is by no means a flame on the entire community ay large, but an observation of problem elements therein.
What makes no sense to me at all, and doesn't reflect well on Smash, is the quirky rift between Brawl and Melee. As another post stated, BOTH are Smash. Preferring one over the other is no reason to be enemies. If any party is to be blamed for that rift, it ought to be none other than Masahiro Sakurai! He has been openly antagonistic against competitive Smash, despite their loyalty to his franchise, and the mindset he propagated within Nintendo is probably responsible for their lack of MLG support.
In short, I don't care about Brawl in MLG one way or another, but I do think MLG was deeply mistaken to remove it. There are some flaws within the community, though, and fixing them would definitely improve the public image. Basically, act like adults, be decent on the forums, represent your series with honor and integrity, and for Christ's sake, stop bickering about Brawl vs Melee.