Karmapowered I'm not opposed to walls of text (as you can see in my own post), as long as you don't expect prompt responses. As I said before, Wall of Text is a spell I can use only once per day.
Since we seem to be in agreement about a number of things, I'll skip those parts and try to focus on the main points of contention.
I stand by the point that "fundamentally, PCs are the player's input and responsibility (and the more control players have over their characters, the better), while the game world is solely the game maker's responsibility" - it's just that you seem to assume that "control" equals "control over outcomes", while I use it in a narrower sense of "control over inputs". (And now we've reached the pre-orgasmic point of every codex discussion: arguing semantics. Yay.)
Basically, outcomes of actions are based on the combination of the player's input and the game world + ruleset. Yes, the player's actions are strongly correlated to their outcome, but I'm arguing that there are benefits of decoupling the two. The amount of such decoupling is arguable and depends on what the game wants to achieve (I believe the main reason AoD doesn't use randomization more because it's focused on the fabled C&C diversity, which requires a near-identity translation from player inputs [skill point allocation + dialogue choices] to outcomes).
But the imperfection of action execution (which Marsal already mentioned) is an important aspect that a game striving for any amount of "simulationism" should preserve. On one hand, you're increasing the level (resolution?) of detail in the system (with detailed hit locations and other similar ideas in your combat example, which I'll get back to), but you're simultaneously reducing it with:
I don't give a flying fuck about any "pseudo-realistic" chance of 5,5476476% that they might fail. Insignificant, hence pointless to have or keep.
Which brings me to this: I'd love to try a game that plays like your combat example. Even more if you added some randomness (as Marsal already said)
It is certainly more interesting than the direction taken by current (pre-Kickstarter) quasi-RPG devolution.
However, without randomness (or other means of weak decoupling of player inputs from action outcomes), what it reminds me more of an adventure or action games than cRPGs. (Of course, "reminds me" is obviously a subjective function). But just like you consider a game in which the randomness is cranked up to 11 to belong to a completely different genre:
There is maybe one exception in the genre that is dear to some of us (me included) : rogue-likes. Why is not pointless in rogue-likes ? Because it's a genre in itself, that is played and enjoyed on its own merits, and especially because it doesn't tamper with randomness. There is no such thing as 50%, 30% or 10% randomness in them. It's brutal, it's harsh, it's 110%, it's *everywhere*. It's just not for every gamer.
I can't see why the logic doesn't also work in the other direction: when you reduce the randomness to 1, you also end up with a completely different genre, with completely different considerations and for a different player audience.
Furthermore, while purely mathematically you could say that anything that doesn't make an order of magnitude difference can be considered insignificant and, consequentially
I don't give a flying fuck about any "pseudo-realistic" chance of 5,5476476% that they might fail. Insignificant, hence pointless to have or keep.
In practice, that slight margin of fuzziness is exactly where the magic happens. While a chess pawn has 100% chance to capture any other piece located at its threatened field, cRPG characters never do (and I'm of the opinion that they never should). To bring too much order into organic matter is to kill it by freezing. To bring too much chaos into organic matter is to kill it with fire. But to keep it alive requires just the right, narrow band of acceptable temperature. Now, obviously, computer code is not "organic" and I'm skeptical It'll ever be, but it absolutely needs to fool the players with faked "organicness" if it's to result in an interesting RPG.
Also, I'd say that the reason Wizardry I (and Ultima I on the other hand) was such a breakthrough success that created the cRPG genre for all practical purposes is exactly that it had enough of that faked "organic" quality for the players of that age. It is not beside the point to say that we need somewhat different mechanisms of achieving the same result 30 years later (even if nostalgia keeps the Wizardry kind close to our hearts); after all, nobody maps their dungeons by hand anymore and spending 3 months figuring something out that you could google in 3 seconds is an... increasingly uncommon quality to be found in players. However, it would be foolish to claim that faked "organicness" is not necessary.
Which brings me to the next point: to me, it seems you are offloading too many of the required qualities of the game to AI. And while I'll be thrilled to see good AI in action, in practice I've never seen one that wasn't bypassable by the player. So previous experience makes me wary of anything that places sole responsibility in the hands of AI. Don't get me wrong, I'm not saying that you shouldn't spend the next 20 years writing an AI that makes your combat example possible; on the contrary, please do.
But I am saying that it sounds a bit like you're approaching a bunch of guys arguing about how to best design a car that suits their tastes and insisting that car design is dead and improvements can only be made with personal anti-gravitational belts. i.e. that's all well and fine, but: a) where do we get one, since nobody has ever seen such a thing? b) we're surrounded by idiots that insist rickshaws are the only possible option and cars were only ever used because of technical limitations c) even if we were living in a world of anti-gravitational belts, would there no place for car enthusiasts? d) wouldn't we keep calling cars "cars", instead of discontinuing all cars and changing the language so that "car" means "anti-grav belt"?
And yes, I have a randomness fetish. Hail Entropy!