What makes it half-assed? It's not much different to the existing payment service in use by sites like woot.com and having used their implementation it works awesomely, even with international Amazon accounts. Granted it's a physical goods site, but the process for digital goods is identical. I work with a LOT of payment gateways on a daily basis...none of them have 'special' extra code for digital vs physical goods...as far as their system is concerned it's a true/false flag for most of them.
The only waiting right now is Amazon getting the system good enough for a mass rollout. It's possible to use Amazon payments on your site for physical goods and has been for a long time. They just don't widely advertise it as it's still something in it's infancy for them.
Plus at the end of the day, all that matters here is that someone, ANYONE is forcing PayPal to stop being such a poorly run, monopolistic payment service.
Good. PayPal needs some real competition for them to get off their high horse. I've heard so many PayPal horror stories, including a charity that supposedly had all their money taken by PayPal just after they requested a withdrawal.