It is true, general interest is waning alot in LFS of late, it has been for a while.
While "we" do get new members, the amount of "old" members playing online has been declining for a while.
It is getting VERY tough to organise any racing leagues, because the interest for them and racing in general just doesn't seem to be there.
One of the main reasons for this I believe is the lack of combo's, we have been racing the same damn combo's for years and years, that and the slow development cycle.
I think the trend will continue, and the amount of players and races will dwindle over time, the "playing field" is moving faster than LFS's development, and it will only get worse, unless development time speeds up.
Personally, outside of the leagues we organise, and practicing for IGTC, I am finding it tough to get the motivation to race, I reckon in the last 3 months I have played "public" racing for probably less than 3 hours.
The combo's are boring, the physics engine still has the same flaws, the graphics are looking dated, the only thing that keeps me playing LFS at all is the people that play it, and the racing that can be found by playing these people, if that wasn't there, I would have moved away from LFS completely a while ago.
TBH, I am getting more FUN by picking up and playing Forza 2 for an hour, than I do picking up and playing public LFS racing, sad but true........