It's cool, but I feel like it could give the user the illusion that they can actually play a real guitar. We already have games for that.
I mean, it's much closer than Guitar Hero or anything will be like, but you don't really play a guitar like that. >_> But, that aside, it's pretty cool, lol. It seems really limited compared to a real guitar (you can't slide, it seems, and you can't do harmonics), but you never know