Streaming issues aside, I preferred the Nintendo Direct over their standard press conference. Quick & to the point, games games games, it skipped a lot of the fluff and gave me what I want to get out of E3. The only other issue I had with it is that Iwata does a pretty terrible job of conveying why a certain game is something to be excited about. They should have someone else do the presentation, or have multiple presenters to spice it up a bit.
I hope they continue to do the direct instead of a big press conference. The pageantry and spectacle of the shows does absolutely nothing for me, and is tangential to what I'm really interested in seeing. This year's direct was one of the few times where I could say afterwards, "I am interested in getting most of what they showcased." They've got to fix the technical aspects of it and make the presentation less sedate, but I like the concept itself and I think there's a lot of merit to it.
Most of the big press conferences are tough to sit through with their bloated lengths and filler content, even Sony's this year almost had me nodding out towards the end as it stretched on and on into the night, before they started dropping bombs. And Nintendo has probably been the worst offender, with god-awful press conferences far more often than not. If the Nintendo Direct means I don't have to suffer through the punishment of watching another boring Nintendo press conference, I say keep going with it. Logistical problems aside, it was fine.