Oh boy, now I feel it's time to enter the conversation. Gabkicks, I can understand your dislike for traditional martial arts, but the same arguments used in that video you posted could be used against against your beloved MMA/grappling 'competitions'. Grapplers are dominant on the ground, but in a street situation, going to the ground is the LAST thing you want to do. Just like in Karate sparring fights there are rules in the UFC/Pride/K-1 etc, that are there to make the fight have more flow and protect the fighters. Things like Judo, Aikido, and Karate, etc aren't really traditional at all. They, as systems, have only been around since the last 60 or 70 years, or so. The real 'traditional' or koryu arts have existed for centuries and there are no rules hindering what the practitioners of these arts can do.
The traditional vs modern argument tries to lump a person into one spot or the other, when, in reality, most people fall somewhere in between.