Sounds like they're trying to stick to a name with more lasting weight and a sense of authority. A name like Recursity may be trendy (a portmanteau ending in the letter 'y'), but I suspect ten years from now it will look very tacky.
Flickr launched in 2004 and, at 11 years old, doesn't look very tacky (Yahoo's meddling aside). It also seems like a good problem to have - it needs to last ten years first. If the name's a problem then, the option to rebrand is still there.
