Well put, Sansang. I can get behind the idea of DnD becoming more of a story-driven PnP game through those changes. But what will be the next step? Do we even need the world elements to be that detailed with this approach? Do we really need Fae'run, Mechanus, Limbo and other planes to be pre-defined entities in the world? If its all about storytelling, then rules of physics and some general principles will suffice and story should not be restricted by the premade world elements. Will it even be a DnD game at that point? Definitely something to think about.
Other than that, focusing more on your initial post, the only flaw I can immediately mark is that there is a differences between a PnP and digital games. The story-driven approach can work wonders for a PnP DnD but can find much less success as a PC game, which are mostly dominated by violence and action.
