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Here are the cliff notes. The xp gained per mob defeated goes down as you add players. At 4 players, you have capped the difficulty of mobs you can face (+4 your level) and have found the largest concentration of mobs you can face. THE XP LOST DUE TO ADDITIONAL PLAYERS CAN NO LONGER BE MADE UP BY FIGHTING HIGHER LEVEL MOBS OR MORE MOBS BECAUSE OF THE PURPLE PATCH
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Just so that I'm clear - the larger the group, the larger the spawn. The problem is not the "purple patch" - the problem is that players are approaching MOB spawns that are simply too small for their group.
Oh - low level trials - Sewers (upper). Faultline.
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I'd venture to say that one of the main reasons Faultline is avoided as a lower level trial zone is maneuverability. It's just too easy to fall to your death.