Nick:
I rather like the way you started this thread - lob in the grenade and watch the fun start!
I think Moller has been around for a lot longer than most people realize - personally, I think the cycle length is about 7 to 8 years between resurfacing.
Does anyone know how far off the ground he's actually ever gotten the machine??
I did some work for a European company several years ago that appeared to have cracked several of the problems for such a vehicle. It ended up not going forward for a variety of reasons, but they did have the power problem licked (and the control problem as well).
(how's that for a teaser???)