The idea of turning Gary into this unnecessary super villian out of nowhere just highlights the issues with the show at the moment. That's just come out of nowhere and really doesn't seem to be genuine character development, and it's a crap storyline to boot. They might have got away with it with the likes of Nick or David, or perhaps Adam, but with Gary it just comes across as desperate and unnecessary.
I think actually it would have worked much better for the show using one of the oldies - Rita turning evil in her old age and not giving two **** would probably be quite funny.
I preferred the internet when it had a sense of humour.