I'd been reading (online) that yeast is only good for so long and then mutations accumulate and new yeast is needed.
Yeast does evolve to get comfortable in a brewery. For me, the first generation pitch right from the manufacturer shows off all of the lesser traits (sulfurs, longer lag time, longer to flocculate, etc) but by the third generation, it's smoothed out and the results become a lot more consistent. There's nothing wrong with the first couple of generations, it just takes a few days longer for the beer to mature.
I have no way to know if actual genetic mutations are occurring (though statistically, they certainly are) just that some traits express differently according to the conditions I give it. I tend to run slightly cooler fermentation for ales and usually under pressure for the first 72 hours. After that, the pressure is slowly released, which scrubs sulfurs faster than atmospheric fermentation. Each batch gets nutrient and a bit of extra zinc.
I suspect what some homebrewers are experiencing are changes due to high temperatures, high trub loads, high alcohol and bacterial accumulation more than the actual yeast just transforming itself.
So maybe I'm missing something from what you're saying--or over generalizing maybe--but just how long can I keep yeast going, batch after batch? I'd like to get the most out of each yeast pack that I can, of course, but I don't want to overdo it. 
I can't speak for every brewery, but I repitch out to 12 or 14 generations in the range of 4 to 7% abv and don't repitch from anything 8%+. Occasionally I get to 20 (which is about a year), but I start worrying about the inevitable bacterial load that accumulates.
Generations are different than batches in pro brewing. I can get two repitches from a fermenter, so there is exponential growth possible in batches. I've had as many as eight fermenters going on the same generation, but usually it's two or three. The main reason is economic because buying a pitchable volume can be as much as $500. My overall yeast cost is about $1.25/bbl.
EDIT: Oginme lays out a very practical and reliable set of repitching guidelines, here:
http://www.beersmith.com/forum/index.php/topic,20543.msg73192.html#msg73192