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I was just chatting it up on an L2 forum with Hellrose, a Korean girl who does most of the North American translations for the L2NA community.

We were discussing the drop off in monthly log ins, and she attributed it to the fact that 3 Korean MMOs, Zera, SUN, and GE, all came out or entered beta in late Q4 2005 and Q1 2006. Still interesting to note that the daily log ins didn't take nearly the same % decrease. Seems like the players who left to play the new games were casual Lineage players who were only playing due to a lack of other games to try out.

I would watch Q2 and Q3 to check the return rate on the players who don't find happiness in those new games though.