Very typical of rotating mod cam models. Not a big deal. It will lead to some advanced wear, but it is not an immediate concern IMO. Brownell sells a material called "Cable Fix" that works well to help repair and protect that separation. You just wrap it in the opposite direction of the current serving and keep it well waxed. Dental Floss (not tape) will work in a similar fashion. Just won't last very long.
If you start to see strand breakage then it is time to think about new cables. From the pictures it doesn't appear as though that has happened yet.
You might also try to contact PSE. Most companies have started making better rotating mods and are offering them at reduced cost to customers with the older ones. Not sure of PSE has done that on that bow or not. But may be worth a call or email. Cory at xXx would also know if PSE is doing anything to help.
A lot of us string builders are starting to use smaller strand serving in this area to help in preventing this. Smaller strands = more surface area which = more friction to keep those strands in place. Brownell has even been developing new serving thread (Fusion) that bonds to itself that is showing improvement in the power mod areas. I have been using it over the past year and have been pleased. So new cables could definitely help, but it will likely always be a small issue over time. Just one of the acceptable compromises in choosing high let-off rotating mods.
