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Sorry, we no longer have the license to make new PDFs for back issues of Dragon.
This is really disappointing. I've also tried contacting WotC about this problem via Gamer Zer0 who passed on the question, and they haven't given an answer to him with all the 4e work they've been doing. I also get the feeling that Paizo hasn't pursued it due to lack of interest on their own behalf as they are busy with Pathfinder (and understandably so). I just feel like both parties couldn't care less about the audience that wants PDF copies of those last issues of Dragon and Dungeon.
This question has come up a LOT since the magazine licenses were pulled, about a number of different things (Dungeon web supplements, a Savage Tide version of the Shackled City hardcover, and so on), and the reason why these things can't happen always boils down to the licenses. Paizo can't make and distribute new Dragon PDFs for the same reason I can't: it would be a violation of WotC's copyright.
This question has come up a LOT since the magazine licenses were pulled, about a number of different things (Dungeon web supplements, a Savage Tide version of the Shackled City hardcover, and so on), and the reason why these things can't happen always boils down to the licenses. Paizo can't make and distribute new Dragon PDFs for the same reason I can't: it would be a violation of WotC's copyright.
No, but they could readdress the licensing to at least finish off the last issues with WotC who might just as easily say, "You know what, yeah, go ahead and publish the PDFs. We didn't mean to cut that off."
The problem is, it doesn't seem Paizo has addressed it, or at least they haven't communicated that they have when they answer these questions. If Paizo hasn't asked about this specifically, I don't know if it's because they aren't interested in bothering, if they are just busy with Pathfinder and assume the answer is no, or a little bit of both.
Why would it be in Wizards' interest to do this? They don't want to support a competitor project (3.5), so it's in their interest to say no. It's not like they can make the pro-3.5 crowd any madder.
I think assuming that Paizo haven't asked is rather disingenuous as well. I don't know if they have or not, but given Paizo's attitude, as I've found with some queries, I'd say it was unlikely they wouldn't have at least asked if it was a possibility. Hell, it would raise their revenue if they did get this, so it seems like a no-brainer (although the license costs might also be raised). Besides, my way of looking at it makes Paizo the good guys and WotC the guys in the black hats. Which is how the world should be. ;-)