Looks at least like a well thought-out system - a pair of analogue controls with buttons that you don't have to move your hands to press - it's already better than both standard console gamepads, imo (as neither of those have all the buttons beneath your fingers).
The aiming of the right part to aim in game is interesting, but presumably it's the same as a joystick in interpretation - turn faster the larger the angle - with all the limitations on accuracy that that entails. If it's not, and it's a turn-by-factor-of-degrees then I'd ask 'how do you turn all the way around?', but it would be more intuitive for aiming.
Dipping motion seemed to lack response and detection on that version - see where he tries to crouch and it takes a couple of goes, and again as he stands, overshoots and jumps - no so great or fluid.
Sony should be taking notes though - that looks to be the way to implement the Move into a mainstream, 'hardcore' shooter.