I've been thinking about this for awhile. I don't know when, or if, the equipment rebalancing will ever come about, so I will propose an alternative system here.
The problem:
Equipment is distributed in such a way that it tends towards two extremes: You have enough and have no real need/there is no other EQ around for you to get. You don't have enough, but there is still no way to get what you want to fight the people who outgear you considerably.
Raising the rare count devalues the EQ, overpowers the combat mechanics (values are too high), and strongly benefits the "burst" players (people who play (aggressive) characters that are online for many hours in a short time, but don't last very long in RL terms).
Lowering the rare count inflates the value of armor and strongly benefits the "unkillable" players (those who play so cautiously/are so powerful that they can't be reasonably killed without extremely good gear).
The premise:
We need a system that still has 'rare' and 'unique' values, but ones that are not absolute yes: the armor is in, or no: the armor is not in.
One solution:
Randomization of EQ values and rarity. First, you make all gear available at all times. Second, you give a percentage for a mundane, rare, or unique piece of that gear to spawn on the mob. Then finally you create a system of random effects to be added to the piece of gear, depending on its spawned value.
Take for example, the emerald sword. You go the draconian king and it will always be there, every time. It will always look the same. However, after you pick it up, you might notice that the stats are slightly different each time. There is a high chance you will just get a normal emerald sword, no socket, nothing special. If you are lucky, a rare one will spawn with some random attribute (for example +2 avg damage, socket, some kind of weapon flag, hit/dam bonus, whatever). If you are really lucky, a unique one will spawn (again, more powerful attributes). If you keep killing the draconian king, eventually you will get a rare/unique weapon, but you will never know exactly what it will do until you have it.
This would have some huge effects in the game. Instead of doing a gear run and locating all the gear and planning who gets what, you wouldn't know what you wanted until you IDed each piece and saw what was better/worse than the stuff you are currently carrying.
Every time you went to grab a piece of equipment, at least you know it is there, even if it is not an ideal piece that you want. This means you don't just look around at some mobs and log out if it isn't there. It encourages you to stay and keep trying.
On the other end of the spectrum, nobody would ever get an ideal suit. It would take much longer than now. So even people with 'good' gear would still have things to look forward to try to get or improve. Most gear runs would only drop a few 'rare' pieces, for example.
When you loot somebody, you don't know how good each piece is, so you can't just get all and start saccing or loot efficiently. It may very well be that her ring of accuracy is trash but her scourge cloak is uniquely awesome.
When fighting, you don't know exactly if that emerald sword is nodrop, noremove, burnproof, or what...you can't just look at the EQ and decide your exact strategy. You would know that it tends to be one way, but you would never know for sure without trying.
Building:
The builder builds the basic stats of the item at the rare level. Mundane drops would have something lowered/taken away, whereas uniques would be slightly boosted. Also some small variation of the stats on each spawn.