Paul, I think I was left just as the VAX was introduced. DEC made great hardware but the experiment to develop a system was a debacle. You mentioned the PDP-8, which was an 8-bit machine and could "handle" up to 16 input terminals. Well, they linked two PDP-8's and thought they could attach 31 terminals (one terminal port was used to "link" the two PDP-8's). We were using the VT-60 (a "dumb" input terminal which needed the computer to do hyphenation and justification, spell check, etc. so the thought was all reporters could be entering their stories (as press time loomed), sending them off for H&J, getting them back and making the final polishing. It did not take much to crash the system. We were dealing with papers that had a daily circulation of 20-30,000 so funds were not unlimited.
We had a more expensive option, the PDP-11, a 16 bit machine, but it was not much better and was much more expensive. The VT-71's ("smart" terminals were just out and also more expensive but even they only had 32k of memory). The major issue was the software and we had instances where reporters would create a story, have it all ready to go to the phototypesetter and when they tried to send it, they got the message, "file not found." Have you ever written something, got it perfect, lost it and then tried to re-write it? Also, one truth in the newspaper business is once you miss an issue, it is gone forever. You cannot put out today's paper tomorrow. Well, we managed to cause the Columbus (Indiana) Republic to miss the first issue in its history! This was in spite of the fact that in the late 1800's there was a fire which destroyed most of the paper's facilities and in the early 1913 the town suffered a devastating flood.
What a nightmare!