From comments on HN, Reddit and Twitter, this approach clearly does help many people read faster and with less visual strain - just not everyone. Others say they find it harder to read. I looked at a couple of the iPhone apps that integrate the original Bionic Reading tech and they make it an optional feature that can be toggled on by the user based on preference.
It would be very interesting to research what makes it more effective for some people than others. It implies some difference in how their brains or eyes are processing text.