The greatest potential of it IMO is for those who are in a band and wanting to write music, you wouldn't need to get the band together all the time to write with something like this. Very easy to flesh out ideas on your own and then present to your band mates.
But would I want to see something like this live? Probably not. I'm more old school, I'd rather watch people hitting the skins and plucking strings. But on the other hand, if it takes something like this to get younger generations re-interested in rock music then that could be a good thing.