Well, on the up-side, it's more interesting than last year's mid-card shuffle.
On the bad side, Smackdown is completely neutered now that their #1 Face (not to mention WWE Champion) and #2 heel are gone, replaced by Orton, who was a dismal flop as champ, and Benoit, who has all the natural charisma of a bowl of oatmeal (not that I don't love Benoit). The only way I can see this not completely and utterly destroying SD's credibility is if Jericho or Christian wins the WWE Title from Cena, then gets drafted over to SD.
Aso for Orton switching shows, meh. I couldn't personally care less.
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