Or, another way of saying it might be 16 seeds is one less round.
Absolutely not, there's still as much tennis to be played, and no buffer to make sure you won't play the guys ranked 17-32 until round 3. Now, you may have real dangerous floaters. It actually won't change much in the end (ie it will probably cause a few more upsets, but not that many), because, you know, the top players are still supposed to come out on top. But with 16 seeds, they should get challenged more often, ie more exciting matches.
Somebody please tell me what I'm missing here on the seeding changes.
It sucks for 1-16 because they don't get the luxury of playing into form and a protected status as reward for their hard work.
That's okay--tennis had been using 16 seeds "only" since the start of the Open Era. I'm sure the top guys will manage if they don't play guys ranked 100-200 each and every round in the first week of a slam.
It sucks for would-have-been 17-32 for the same reasons.
Yes and no. On the positives, it's a great incentive for them to get to the top 15. Also, a player ranked 20 has a better chance of an upset if he plays a top 5 on round 1 than later on in the tournament, so in the long run, it probably evens out for them.
It's only good then for the event (tweeting about wildly exciting early upsets and such) and the first week fans then?
For the event and for the millions of fans watching on TV, ie for everyone who follows the sport. And as professional tennis is entertainment, well, it's obviously a good thing. Also, as said above, it's better for a hot, unseeded player poised to cause an upset.
I'm quite drunk but am I wrong in seeing this as extremely player unfriendly?
Not really, it's just something they need to adapt to. Once in a while, they'll get a tough match from the start, but that's what tennis is about--you're not supposed to get a bye to the quarters each and every time just because you're ranked 1-5. If it brings back some more umpredictability and excitement to the game, then great.
As for the shot clock, I would have preferred umpires enforcing the rules (of course, the ATP would have needed to 'protect' them, because as we saw with Carlos Bernardes, Nadal would have fired them all, otherwise), but this might be interesting, too. Let's see how it goes. For example, with a shot clock, the AO 2012 may actually have been watchable. We don't need to spend hours watching guys towelling off and bouncing the ball with their hand--they're supposed to do that with their racket, playing against the other guy.