It's not clear there's room for another general encyclopedia on the
web. What they're describing Webypedia as sounds a bit like Knol,
which was more like an unmoderated
about.com than a Wikipedia
competitor per se. (The notion that it was a Wikipedia competitor was
entirely media-originated as they desperately cast about for something
to say about it, and not from anything Google or Wikipedia said at any
time.)
That said, there's already a Citizendium fork in progress, Argopedia
http://www.argopaedia.org/ - though they appear not to understand CC
licensing.
Wikipedia needs competitors. The trouble is working out how one could be viable.
Is Webypedia content going to be under a proper free license? That's
the important question. If it is, I think we should be actively
offering encouragement.
- d.