Not only do market makers get to see and act on trades before everyone else, they get a rebate every time they trade. Watch their whole video. Our stock markets are rigged, gamed, and give preferential treatment to insiders. Seems corrupt to me.
Via Zero Hedge, who has played a major role in forcing this into the open. Congress is investigating and flash trading will be banned. The outrage against HFT started on blogs, yes it did.