Ah, good old Arm. I've played this a while back then, but it's way too much of a time sink. Otherwise, I could say it's one of the best games in the world - nothing quite immerses you as well.
Also, the game has gone through some malaise in the last few years as they split focus between Arm and Arm 2. Staff-player interaction has gone down quite a bit, but it's a bit of a taboo topic there.
like DF, dying is part of the fun.
Not quite true. Dying sucks in this game. Not like DF, where you build up a fortress just to see it gloriously torn down or get your char name in history in Adventure mode.
It's the end, full stop, and you're not even allowed to ask what happened after that, you lose all your friends, have to go through the applications process, etc. I highly suggest you try not to die. But it's similar to a lot of roguelikes, in that it's one of the things that makes these kinds of games fun.
But I'm serious when I say stay alive. The game starts becoming fun after you've been alive for several hours and start to know people and get a character who doesn't break easily.
Also, dying is the ultimate anti-grind. In most MMOs/MUDs, you have a long grind, because people are trying to measure how far ahead you can get ahead of others. If you simply stay alive in Arm, you will naturally have a better character.
What is the estimated average and peak user traffic (when are the busy times? What timezone?).
Uh, I can't recall the exact hours, but around US night. This is another thing with Arm - peak hours and non-peak are very different. At peak hours you'll see people everywhere, at non-peak, there may only be only one per city. Probably one of the major reasons I stopped, because as a non-peak player, you can't really meet people. But non-peak is great if you play burglars, assassins, rinthers, magickers.
Is there a quest system which players use to gain exp, which permits and encourages frequent quest repetition? My most recent foray into MMOs was on a NWN PW server and the quest-abuse, even in role-play enforced servers is grating and breaks immersion for me.
No quest system. Act like you do IRL. Middle management (sergeants, templars, guild house leaders) are often controlled by very good players and they'll try to give you interesting things to do; natural quests. The game culture tries to get even newbies to merge in well with everyone else, so everyone is usually helpful OOC as much as they try to kill you IC.
Almost every character has a fairly unique skillset. And even low level characters (aside from warriors/gickers) are incredibly useful in that they're the only people who can do certain things. Or willing to do certain things.
Lastly, because I am unfamiliar with the MUD format, is there anywhere I can go which describes or demonstrates the mechanics of how game-play operates (like movement from place to place... is it in real-time? Combat... is it turn-based and how does it mesh with non-combat? ie. if someone were to walk past a person being mugged... I just really don't have a good idea of how MUDs work, especially Armageddon
One of the bigger downsides of Armageddon. There is the manual, but if you ask, the most common phrase is "Find out IC". Very taboo to even try and figure out combat mechanics. It just goes that you just follow what's logical, and the combat engine is designed to be completely logical. There's no DPS, etc.
If you want to figure it out in game, favorite advice is often to try and join the Tzai Byn. They're very newbie friendly and usually try to help you out with that.