If Vox Day wins as editor of the year, then the Hugo is officially dead as far as being taken seroulsy ever again.
I said something similar in 2011, when "Chicks Dig Timelords" beat out the first volume of Patterson's Heinlein biography for best related work.
There's some speculation that Pox is attempting to use the controversy to boost Castalia, which has had some interesting right-wing links uncovered (see Charlie Stross's blog for more)
I've been following the discussion, and I can see shades of a Tea Party strategy behind the Puppies' acts. The Best Novel slot is the big ticket item: it's going to get the most nominations and the most votes so it's going to be hard to control. The minor down-ballot items, like the short fiction, editor and related work are easier to control, so focus they're going to focus there, like the US ultra right has concentrated on securing local and state legislatures so they can control voting and redistricting. And they succeeded so far because they got their voters out.
Stross's contention is that by getting a coveted Hugo either for VD or one of his writers he'll be able to attract more authors to Castalia House (his imprint) and somehow be able to game the Nebula Awards.
As part of the fallout, I've become a supporting member of WorldCon for the first time in over a decade and I intend to vote. My intent is to vote No Award in most categories* unless a work impresses me as worth recommending, as two of the novels have thus far. As for the shorter fiction - if it's included in the material sent to voters I'll attempt to read it.
*IMHO, the editor categories are an area where the average reader had great difficulty reaching an informed decision,so it comes down to name recognition. If the short form category were for editing a specific anthology, for example, it would be easier to see what a particular person has done.