Lots of great comments and analysis. Thanks guys. Billy, I always enjoy your posts. Twice Shy, nice post. Cults by their nature eat their own, and the Borg is the leader of the pack in this regard. That was one of the things I began to despise about it. Rules, near-rules, almost rules, rules llight, walk, talk and sound like rules pitted one person against the other, just as the Dark Lords intended. Nothing like controlling the masses than peer pressure. Nothing like removing individual conscience and freedom of choice by pitting brother against brother.
Cults also tend to be paranoid/delusional, so any threat or perceived threat, regardless of the type or origin, will eliicit the only response they know: more of the same, intensified. Twice Shy, if you are speaking from recent experience then I would say this is predictable.
The literature and assemblies were cash cows. From what I hear those two have dried up, as the literature is smaller, has less content and there isn't as much of it. Reducing the assemblies also suggests they are not feeling the love ($) from these as much. The Borg was also fueled financially for years by a lot of fairly successful individuals in the West and by the above average growth in Western (richer) lands. And free labor. They began bleeding the most capable and intelligent before the Internet arrived on scene; I imagine the bleeding continues at a higher pace as Twice Shy points out. The growth is in third world and developing countries, so the $ grab from local congregations suggests some intense cash flow problems. Good for them.
The power of the Internet will continue to explose the Borg's ridiculousness and cause many to exit or wither. The siren's song of higher education will pull more and more of the Borg into it; it isn't likely they will hang around once they get a taste of freedom and especially the freedom to learn. The Borg loses nearly 70% of its born-ins, and the younger generation, from what you all say, hasn't bought in and aren't true believers. Bleeding of the best and brightest will continue. Growth in Western lands and secular countries (Japan, Korea, etc.) will likely retract.
Having said all of this, and as many posters have pointed out, dumbass cults have been able to survive and even thrive for a long time. As long as there are enough brain dead adherents and newbies buying in to the paradise they will somehow make it. I wish they would be fully exposed for what they are and be eliminated from the planet, but I just don't see it happening. They are already insignificant. And will likely become moreso.
Convince me otherwise; I would love to see its demise.