Dare Obasanjo posits that the usefulness of the W3C might be at an end, and I couldn't agree more. Yes, the W3C was largely behind the standards that "made" the Web, but they've become so bloated and slow that they can't get anything done.
There's no reason why XQuery, XInclude, and any number of other standards that people could be using today aren't finished other than the fact that all the bureaucrats on the committee all want their pet feature in the spec, and the W3C process is all about consensus. What that ends up meaning is that no one is willing to implement any of these specs seriously until they are full recommendations. 6 years now, and still no XQuery. It's sufficiently complex that nobody is going to try to implement anything other than toy/test implementations until the spec is a full recommendation.
By contrast, the formally GXA now WS-* specs have been coming along very quickly, and we're seeing real implementation because of it. The best thing that ever happened to Web Services was the day that IBM and Microsoft agreed to "agree on standards, compete on implementations". That's all it took. As soon as you get not one but two 800 lb. gorillas writing specs together, the reality is that the industry will fall behind them. As a result, we have real implementations of WS-Security, WS-Addressing, etc. When we in the business world are still working on "Internet time", we can't wait around 6-7 years for a real spec just so every academic in the world gets his favorite thing in the spec. That's how you get XML Schema, and all the irrelevant junk that's in that spec.
The specs that have really taken off and gotten wide acceptance have largely been defacto, non-W3C blessed specs, like SAX, RSS, SOAP, etc. It's time for us to move on and start getting more work done with real standards based on the real world.