Is this only RE-trains and trams not IC/ICE-trains, just like the 9 euro ticket? If so long distance travel is not really practical.
As a German taxpayer, I’m absolutely fine with the 49 EUR ticket not covering the fast trains, but making in-region commuting cheaper and simpler. A Nürnberg-only ticket is something on the order of 60 EUR/mo with an annual contract or 80 if you can’t commit, so this is going to be at least 10 EUR/mo. back in the pockets of a lot of people it really matters to (tickets that cover suburbs like Erlangen are even more expensive).
It semms like an odd policy to split public transport into a cheap, crowded and unreliable part while you have nice modern trains running half empty.
Anecdotally, reserving a ticket (with a seat) on IC/Es on the same day as you travel has been quite hard for me unless you splurge on 1st class or travel at unusual times. I do travel on quite a busy route however.
People spend hundreds a month commuting by car so the issue is not the price of train tickets, it's that people prefer to drive as it's more comfortable and convenient. But now, if you cannot park or it will cost you a fortune you'll think 'fuck it, I will take the train'.
My point is that cutting ticket prices isn't going to make people suddenly use public transport because it's not an affordability issue.
Obviously it depends on where in Germany you are but in/around Berlin while driving is often faster it’s usually not such a big gap because you’d be stuck in traffic in a car but not on the train. It would often be more like ~50 minutes instead of 40 (but then you can read a book on the Regio/S-Bahn instead of focusing ok driving).
Of course trains have some advantages, too.
Google Maps also suggests 6.5 hours by car compared to 4.5 hours by train between Munich and Berlin.