Maybe, maybe not.

The linux portion running as the hypervisor will work just as well as linux normally does, with respect to drivers and whatnot. You're right that this doesn't magically make that situation better, and this may be a problem.

However, the guest OS which is probably the primary OS you are running (depending on which of the many use cases suggested in the posts here, hypervisor being a backup/quick boot type thing) will be able to access devices the host doesn't have drivers for. More clearly said there's no reason you can't pass through pci/usb/etc devices straight to the guest OS and let their drivers make use of them (this exists in current VM technology: VMware, KVM, Xen). The key point here is that while the Linux drivers will be as good/bad/same as ever in the slim hypervisor (and may limit that functionality somewhat)--the overall functionality of the system with regards to the guest OS vs the guest OS running in a VM will be less effected by this than you might think.

It's the difference between your ipod not working and your ipod not working just in the hypervisor.

And throw on Intel-VT or AMD-V (as it looks like they have) and this should be pretty exciting.