The strength of these as a controller/display is what they bring to the table that more common hardware such as a mouse/keyboard/monitor combination do not. Their ability to sense proximity is not unique unless the software can do something cool when you move one or more of them far from their starting point or combine blocks from different peoples' sets.
Without built-in GPS or at least wi-fi capability their geographic location isn't going to drive the application, unless there are "base stations" at special geographic locations that can essentially tell a particular block that it has been to a particular place.
Since they can communicate over short distances there are some possibilities when you put different peoples' blocks next to each other, maybe along the lines of a trading card game--sort of a fancier version of Bakugan.
Another possible differentiator is the ability of a group of people to use them simultaneously, either cooperatively or competitively. They seemed to suffer from significant lag though, so I'm not convinced time-sensitive applications such as using them to play music would work that well.
Anyone can make an omelet with eggs. The trick is to make one with none.