Here's what I get from the new plan.
The new 1.2 subscription payment model is like leasing space to host a web server. Players who want to utilize server resorces will pay to maintain the servers, in proportion to the amount of resources allocated (land).
This model is not really any different from leasing a host from an ISP to run a website.
This income model will allow Linden Labs the ability to directly control their maintenance costs, as their server maintenence expenses will correspond directly with the sales income generated from the players who have paid to use those resources (more or less).
Whether this is good or bad is left as an exercise for the reader...