Fair point. The companies are small and medium-sized. I'm not convinced that those models can't scale, though. One large-ish company that I know of who still does something similar is ThoughtWorks. They have on the order of thousands of employees and their interview process consists of, among other things, a take-home code submission and on-site pair programming.

If you're getting 1000 resumes per day, I think you would be able to weed out a significant number of them just by giving them a coding assignment to work on. Churning out a resume is easy, but sitting down for a few hours and writing well-designed code takes effort.