Eye Of The Beholder...
1) Has any logo for anything ever been received well? I guess people just don't get logos...
2) Anyone who interprets this logo as depicting a sex act performed by a child - even a cartoon child - needs to get some therapy! Maybe El-Reg can pass your details on to the relevant authorities...
3) The 0 in the 2012 reminds me a bit of the old Newham Council logo in shape and colour - so not totally irrelevant since that's the borough where the games will be based.