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But then, all they had to say is "fighting spam" and all is well. The crowd is appeased even if plenty of legitimate sites are auto-buried / blacklisted in the process.
Plus there was a quick nod to the "our hands are tied" excuse toward the end in reference to the fact that sometimes the digg crowd gets together and decides it hates certain sites/blogs. Too bad for those sites; they're not welcome by however many of the tens of millions of uniques it takes for the sites to be blacklisted/auto-buried (I'm guessing probably somewhere around .00001% of the community can decide what is permanently not wanted by everyone).
To recap, legitimate sites can be (and have been, just not Engadget or Ars Technica, of course) blacklisted / banned / auto-buried (pick your term) because they're a) mistaken as spam or b) rejected a couple times by an extremely small percentage of the community.