Well there\'s two sides to this.
Lets say that everyone did start in the same city. Then it could be a sort of \"newbie-town\" with NPC\'s whose primary purpose was to help people understand the game. And outside the city could be some low-level monsters for them to fight. As they got experienced enough, they would move out into areas better suited for them.
Plus, anyone who is sick of newbs running around asking for free galkards would just keep clear of this starting city, where most of them would likely hang out.
By randomizing the starting city, there\'s greater dispersion. This could also be a good thing because they wouldn\'t just be surrounded by newbs, but instead by experienced players who could help them out.
So it could work either way.