Digg has always been overrated. People voting on news stories was never a great business and the quality of the user base has significantly deteriorated over time. The smart people have moved on and the site is dominated by spammers and trolls. No legitimate brand is interested in being associated with that level of maturity, so Digg is stuck with bottom of the barrel advertising.

I just wonder how they blew through so much cash. All the new features have sucked. I guess it all goes to biz dev guys...

On the bright side, maybe the founders will silently pass into obscurity.