I think the titles are important. I agree that it doesn't suit the format, but any MMA org that wants to be taken seriously needs to have championship representatives for each weight class.
What I like most about the changes is that they've brought MMA back to what it was in the beginning: a question of whose style is the best? If marketed properly the IFL could spark some really interesting debate as to what approach is most effective.
"What we learned here today
is that fighting is not
what we thought it was"
-JIM BROWN at UFC 1