Bump.
So, I was messing around with folders... I have no intentions of putting all my downloads into folders, because it won't let me organize them as awesomely as I can on the menu... but I did create three folders - "DMV". Demos, Misc., and Videos. All of the Demos are in one folder, videos in another, then all the system stuff that I don't use (camera, music player, etc.) in the third.
This, of course, freed up a lot of space on my main menu.
Sadly, the menu did not re-condense afterwards and I still have a *LOT* of empty spaces on my home screen.