That's too bad because I really liked the Colbert Report. I liked his persona because, as opposed to Jon Stewart, it allowed him to seamlessly mock ridiculousness on both the right and the left and it made him come across, almost ironically, much more moderate than many of his comic peers.
The late show will certainly benefit from his brand of over the top humor but I will definitely miss the Colbert Report. I know he won't be in "character" any more, but I hope his style doesn't change too much. Hopefully he can make the late show something I would enjoy watching and the loss of the Colbert Report won't be as hard felt.