The ideas and concepts this is behind are great: an affordable console (not meant to compete with other consoles such as the PS3 or 360), development for it is free, and the creators urge others to root it as they wish! Great platform for indie devs, truly.
Though, I do see a lot problems here. One of them being the hardware for the machine, but it isn't with the hardware itself: it's with the progress of android hardware in general. At the rate we're going now, the Ouya will be too outdated to play games for more powerful hardware in a relatively short amount of time.
Another issue is with, again, not the machine, but with developers. Too many indie developers are notorious for pumping out lazily-made games and branding them as retro or just making no attempt at making quality games for a quick buck. And then you have free-to-play MMOs, but I'm sure you know where I'm going with that. To put it simply, the Ouya will be plagued with quite the amount of shovelware games, which won't bode well for its sale.
I think I had a few other points to make, but I can't remember them now, LOL.