i've read about these before. basically you can build the type of camera you want/need instead of buying multiple cameras, the red system is module based. it;s quite an intelligent approach. pricey but smart.
working in the av industry for years now I wouldn't say that those large sensors are overkill at all. Think about the olympics and the video footage and projection sizes. you want to project something that is 20' tall but still look good from 5-10' away you need more than just the normal 1080p resolution. granted for a broadcast system this is way overkill, but i know a few installations that would benefit from having such a large pixel space. The lobby of the comcast building in Philly would be one of them. granted thats just LED but still, another would be IAC's video wall at the chelsea piers. it uses 18 edge blended 1080p projectors to create one image. The pixel space was approx. 19000 pixels wide by 1920 pixels tall. That equaled a 11'x120' video image that you can walk right up to.
all in all i think it's awesome technology and definitely has it's uses.
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