Scepticism is good....and usually my standpoint ;o)
Use in enclosed or partially enclosed surroundings is an obvious application.
Here is a conventional but limited 3 image stitch:
Unlike many high resolution 360 degree cameras which pan, the iSTAR takes an 'instant' picture.
This means it can potentially also be flown, say on a kite line.....but then you do need to be able to fly a kite.
Here are members of the Edinburgh Young Archaeologists' Club:
It is not unusual for junior school children to be flying cameras with us up on Cairnpapple:
http://www.armadale.org.uk/cairnpapple.htm
Wide angle data gathering can be very useful, especially for low aerial work.
Merging images, or partial images for 3D work is another application.
The new time of flight cameras have even more potential but the resolution is a little low at present.
I will probably have more to say about photography in my other posting.
There may be a general lack of appreciation of digital photography techniques and their application and relative simplicity.