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Yes, AOE damage is an issue. We're still looking at ways to solve this. So no changes are imminent.
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Statesman... I believe that after the Smoke Grenade fix, there no is no longer a need to nerf ae blasters. The most popular AE combo was probably Fire/Dev because we could AE hoards of enemies with no fear of getting hit... now, things are different. Since Issue 2, I find that I use my AE's about once per mission! I let my group do each of their roles because if I AE, I will die... its that simple.
Any nerf to AE at this stage in the game would be a huge mistake... The reason so many of us like being AE blasters is because in most other mmorpgs (like daoc), AE spells are pathetic: they cost too much, they deal too little dmg, and there is a dmg drop off as the enemys are further away from the center of the blast... so they never get used.