My comments:
People are making a lot of assumptions about this system that are untrue. It does NOT negate the value of magic items, feats, abilities or smart choices. It can be run as detailed as you like (each round is still six seconds, though you could easily alter that), with as much richness in action description as you like.
The biggest difference I've found is that it's less rigorous with respect to positioning. Since you aren't moving items around on a grid, there's no way to trigger or restrict/allow events (like attacks of opportunity or charges or whatnot) based on the precise relative position of elements. This is neither good nor bad, just different. Suitable for some types of events, not so much for others. Note that you can STILL charge, trip, whatever, and there can be outcomes from those actions, it's just not as rigorously enforced.
But I'm hearing a lot of concern based on assumptions that are incorrect. Thought I'd point that out.
People who thrive on very carefully-optimized character builds will not like this so much, since it alters a couple of basic assumptions about game play. People who are a little more relaxed shouldn't have any problems -- magic items still give an advantage, feats like Cleave or Mobility etc still impact combat. The impacts aren't quite the same as they are in grid-based combat, but there's enough there to keep all but the most intense munchkins happy.