I think SO is not only competitive. The competition is just an incentive to -in the end- provide a good (if not the best) source of information for programmers, written by programmers. The reputation feeds two things: youyour own ego and the confidence of the one who's reading an answer when it sees that it comes from a "folk"person who's not a newbie in the site and knows what they are talking about". Or at least, you could change all that quote to: "a folkperson who has been hanging around a lot of time inon SO". (whichWhich doesn't mean they are good). Badges kind of help with that. You could have 10.000 rep points, and little good badges, or 1000 rep and a few silver…silver ones.
In either case, time will tell. I think that this is both competitive and collaborative with strong and weak points in each.