I have no respect for and make no excuses for the explosion of drug use that has occurred in bodybuilding over the last 15(+) years. The decision of the IFBB to drop it's drug testing program in the early '90's was why I got out of the sport and it got a LOT worst than I feared when I left. There was a drug problem prior to this, but it was comparable to other sports, though bodybuilders always looked like they "had" to be on something.
OTOH, I strongly disagree with many of the opinions posted here about the value of bodybuilding as a training method. Most high level bodybuilders are elite strength athletes and many are world class powerlifters in the off-season. A good bodybuilding program is based mostly on compound lifts including many of the ones used in olympic lifting and all the ones used in powerlifting. I would also argue that bodybuilding (when done correctly) is superior to either for overall athletic performance.
In bodybuilding, you develop each muscle group to it's maximum potential which includes all three components of a muscle cell which is effected by adaptive stress. This includes both muscular strength and endurance. In olympic lifting, the emphasis is to hoist as much weight above your head as possible (in overly simplistic terms). Using the cliche of a "chain only being as strong as it's weakest link", the full development of the larger, stronger muscles is limited by the weaker smaller ones. In powerlifting, there is much less emphasis on the "assistance muscles" than on the prime movers in the competition lifts. In bodybuilding, you try to max out the potential of each "link of the chain". In powerlifting, you leave a lot of links weak because they aren't as important for your purposes and in olympic lifting, you limit the strongest links by the capacity of the weaker ones.
When bodybuilding is done correctly (BTW, martial arts is ineffective if done wrong as well. If your strategy is to block with your groin and face, your success rate will be roughly as good as the BB routines as defined by Tellner), it should be done to develop each muscle to it's potential along the natural strength curve (proportion and "symetry"-yes, I know the term as commonly used in BB is incorrect). A bodybuilder should also have greater flexibility (watch Ron Coleman, Tom Platz, or even myself doing a full split) and cardio because the correct usage of these is part of their training. While I would never argue for the extreme levels of low bodyfat and dehydration that competitors strive for at competition, the rest of the year, it's a LOT healthier to walk around at 8% bodyfat than the 20-30% that many other strength athletes have been known to.
Both the exercise and nutrition industries have trends, mostly based on marketing, that rear their heads in cycles. The public wants faster, easier results with less effort and less discipline. This is why we saw low carb diets come back after those in the know were very familar with both their limitations and their definite drawbacks (ketosis anyone?). Still, people got some quick fix results and the people who cashed in on the fad made some money. Olympic lifting is less time consuming and can be hyped as a "re-discovered miracle tool", but it's inherent weaknesses will come to light once again and I predict it will not be too long before it goes back into the backseat of the strength community. There will always be a few who will shout it's praises, just as there are still those who praise Dr. Atkins.
Finally, the argument for "functional strength" is mostly bull. Look at the athletic prowess of guys like Tom Platz or Dr. Franco Columbo. Franco was arguably the strongest man pound for pound of his era. He was the amatuer boxing champion of Italy, who gave up the sport after he nearly killed an opponent after he began weight training. Look on youtube.com under KJN David Hughes and see for yourself what effects drug free bodybuilding has done for me with correct training. BTW, I have performed 805 lbs. squats for reps (500 ofr 20), bench near 600, and I backed off from deadfifts since this (my naturally strongest move) was throwing off my strength curve. I have stiff leggeg 500 for 6 and had a national powerlifting champion (Chuck Siler 220 class) tell me he was sure I could set a world record in the deadlift (at least by late '80's standards) if I would just work on it.