This has been known for a while over at EJ. They noticed something was up with Ignite damage, and started looking into it. They had a running theory, but this just confirms
their suspicions.
Here's what they said, for those who don't want to follow the link:
Enthorn wrote:
It seems as if Blizzard is at least making an attempt though to rectify the ignite munching situation, by ensuring that ignite ticks every two seconds regardless -- this does has benefits, as it means a large rolling ignite is less likely to be munched, and instead a smaller one is munched. However, it seems that they've already taken the first step toward a solution, but haven't fully implemented it yet: when a spell crits and ignite damage is dealt, the game checks to see how much ignite damage should be caused and how much has been caused, and adjusts ignite damage accordingly. That way, even if ignite damage was munched, the next check would say, "Hey, we're missing some ignite damage, we need to roll that into the next few ticks." It'll be interesting to see what they come up with. It was one thing when ignite damage was only a 2% loss in total damage -- but now with ignite damage coming from so many different sources (living bomb DoT crits, pyroblast DoT crits, and so forth), they may be more inclined to address the issue
.