I think its gimmicky.
If you're going to bother with internal hub gearing, you might as well make it manual-- its even easier than shifting a derailleur and you don't need to be moving. Its not like automatic 2-speed shifting is solving a real problem.
Aside from the belt drive, this looks pretty close to the CityGlide that I have, and at a similar price (on sale). (The CityGlide lists around CA$799, and I got mine at a bike show for CA$450; I’ve spent more since then, including getting fenders.) If I didn’t already have a two-speed automatic, I’d probably look at this seriously.
I also have a Dahon (Speed P8) that I use in the winter, although I might be using the Norco a bit this winter. When I replace the Dahon, I’m strongly considering a Montague full-sized folding bike.
I think there also is an old Shimano design, but that was 3 or 4 speed.