Level 110 gear on my level 50 character...

[Duelle]

So should gear only drop from 40 person raids too?

No, but progression could have been controlled a little better, IMO.

I don't see why people like yourself are getting hysterical over semantics.

I'm not getting hysterical, just mentioning something for the sake of giving a frame of reference. Something I neglected to mention is that despite the big gaps in item level, the stat gaps aren't very notable. It does give a bad impression when the item level is jumping by what seems to be a large amount (without context the jump from 50 of something to 90 of something is large no matter how you slice it), specially so close to the game's launch.