Star Wars is going to be reclaiming numerous character names on Nov 1. Essentially names of character who are under level 30, have not logged in for 3 months or so, and do not belong to current subscribers will be freed up. I think this is great news. Last time I tried to make a character, it was quite hard to come up with a name that had not been taken.
It's interesting to see what approaches new MMOs are taking to naming. Names have to be unique, so that you can uniquely identify the people you mail or interact with. But at the same time, the "good" names get taken early and players have to resort to more and more unusual names.
Cryptic tags character names with @account. So you can use any name for your character, but your account name has to be unique. The downsides here are that there is an explicit link between your characters and your account, which a lot of people don't like. And it does look kind of funny.
Some games like GW2 allow names to include spaces or punctuation (a common one is a period). This allows you to make names which are more complicated, but still easy to remember.
FFXIV makes you chose a first name and a last name. This allows you to vary a common first name with different last names, while still having everyone use your first name in conversation. As well, it seems to make people name their characters better.
Of the current methods, I like having a first and last name the best. It's simple and easy, and feels natural. I think that new MMOs should strongly consider using this model for their naming schemes.