The stability of this appears questionable. Anything at high speed looks dangerous - for example: tight cornering, and hard breaking. At $1000 I'm wondering why I'd be compelled to purchase a less versatile bike (than say, a Kona cross country bike) at a higher price with the promise of increased risk of an accident. The other main problem I have with this bike is the wheel size. Obviously this part is critical to the design, but does it not contribute to a bumpier ride? I like being able to ride over cobblestone without getting shaken down for my lunch money. Also being able to ride up onto curbs is something I probably take for granted.
I think the design is pretty cool, and the reduced size of the bike (it's main selling point I'm sure) could very useful in certain situations - but personally I don't see it as enough of an improvement on my current bike (or most bikes in the same price range) to justify the purchase.