But 5.0 was only produced as a Live DVD under contract and under deadline for Linux TAG. They wanted a DVD, they paid for a DVD. Are you suggesting that should have gotten a CD and not a DVD?

The deadline situation likely contributed to the inclusion of some of the bugs. But this is understandable when you set a dealdline for software release. Perhaps an officail release of the 5.0 DVD on the Internet would have helped by having more users test 5.0 (I know many including myself will not download an unofficial ISO of Knoppix not released by Klaus) but the downside of this would be that Klaus would be releasing what he knows to be buggy, he likely much prefers to release something that he considers somewhat stable (although I'm sure he understands that once it is in the hands of hundreds of thousands of users they will find some issues that he never came across). So the argument is somewhat the opposite of what you made; an early release of only the DVD may have helped you get a more stable CD release. But focusing on only a CD release isn't in Knoppix's interest or it's spirit, and will not get Knoppix the broad base of users that help find the bugs that you seem concerned about.