The hard truth, in my opinion, is that cyber bullying needs to be fought at its roots, the social networks and the internet, and to do that we have to honestly ask ourselves if it's at all healthy that kids have access to this kind of capabilities without first understanding the basics of socializing and coexisting with other people.
I don't know how it works in your countries (I live in Italy), I know that my parents are both teachers and there's been a change in the kids' social behavior since smartphones and internet have entered into their lives. They don't play, they don't talk, they don't really know how to express themselves. Facebook is cooler than reality to them, because you can follow your basic instinct to hide your true self from others. You can't stop bullying there. You can't stop power circles in a place where you can't see nor control them. You have to get it down a notch, back to the "Give me your lunch or I'll beat you" level. That you can see, and that you can correct, because it's basic animal behavior, and an educator is supposed to be equipped to deal with it.
Just my two cents.

Thanks for the thread, it is an interesting topic to me. Oh, and I love the upgoat, I never really noticed it before :D