I think it's an idea which could be useful for exactly the reason that some people don't like it
What it would do is force people to spread out, while allowing flexibility.
Sigurd said:
They take only combat oriented skills and force the narrative to house and feed them. The skills points are relatively few and they don't put points in 'fluff' skills that might round out their character. If you remove the level based cap I think you'll see that characters become more like combat robots with unbelievable cobat skills but no life skills.
I think a system like this actually encourages the exact opposite effect; Consider for example a character with a high number of ranks in a traditionally useful skill, say, Spot.
Under a tiered pricing structure without caps, Yes, they COULD dump more points into Spot, increasing from 10-12 ranks. But for the same price, they could bring a new skill, such as Survival, from 0 to 5 ranks.
The 2 additional ranks in Spot aren't going to be as useful as the 5 ranks Survival to most people.. So the characters are
highly encouraged to spread out.
More generally, I think the problem is that the cost for useful levels of skill would rise with your character level, while the availability of skill points would not. Nobody would ever have over, say, 10 ranks in any skill. If the cost was a sliding scale based on your character level it would be better.
By saying that people wouldn't have more than 10 ranks in a skill, you're agreeing that they'd spread out
But I don't think that most people stopping at about 10 ranks is a bad thing for a lot of campaigns. What it does is to average the curve a bit. There are fewer Savants, who are good at exactly one thing. While there can still be some, just like in Life, it encourages a more normal distribution.
What's also nice about it is that it makes the difference in power between high and low level characters less Visable. Instead of a 20th level character always having 23 ranks in skills, they are encouraged to take a breadth of skills instead, and only have 23 ranks in one or two skills, even if they are a rogue.
I agree that Record keeping would be an issue; Maybe theyre's some clever way of dealing with that. But I think that the general idea adds an awful lot to gameplay.
Basically, There are two concerns- One is that people would Hyper-specialize, and put everything into one place.
The second concern is that people wouldn't develop their skills higher than level X.
It seems that these are almost contridictary concerns
Either uncapping skill levels by itself, or having tiered pricing for skills would be difficult. But doing both together have a natural tendency to balance each other.