Is it bleeding money? Otherwise I don't understand why anyone would shut down a service with 25,000 uniques daily.
I'm not trying to be facetious, I just think that 25,000 uniques/day in a consumer play is not a lot. Do you feel differently? If so, can you provide some context for me to help understand your position?
With the $$ amount that advertisers are paying for mobile installs, a app with good engagement and viral reach should have no issues being monetized.
If their goal was to build a company around 1 app then that could be their issue but doesn't seem like the kind of app that could grow to support full team indefinitely.