It is an interesting approach. But I still think it's largely preaching to the choir.
From my experience, the general software using public doesn't care how much work or effort has gone into something. They generally expect to be charged for software. And, if given the opportunity, they'll often try to find a way to "borrow" a copy rather than pay for it. Which is why the so-called "honor system" doesn't work very well. This is something the Association of Shareware Professionals learned back in the 80s: If you don't REQUIRE a payment, you'd best not expect to be paid.
The Free Software crowd got around it by basically saying: Screw it! Here's some software. Use it..
There was a certain subtext in there that also that said: It would be really cool if those of you people who are using it could throw some dollars our way so we can continue to develop and refine this thing. But after that, they stopped worrying about it. And if enough people didn't help support their efforts, they stopped developing. It was pure Darwinism: Software which filled a genuine need got supported and survived. Software which didn't (or was of limited or special interest) either continued on as the self-supported 'hobby' project it was - or shut down.
At the core of this was the realization of a simple truth: People (mostly) only pay for what they need. They're far less likely (and willing) to pay for stuff they merely want. And, if given the opportunity to avoid paying at all, about 98% of the people out there won't. Which is why Microsoft developed Genuine Advantage - and we get to live with all the nonsense various other DRM mechanisms put us through.
What Fairware boils down to is yet another form of crowd-sourced project financing. But this time with a fairly interesting and complex (and IMO slightly self-righteous) allocation system for distributing whatever funding is received.
If experience is anything to go by, there won't be much to distribute for most projects.
I personally think Fairware is a great idea. Smacks a little bit of "old wine in a new bottle" but so what? I wish them all the luck in the world getting it to fly. 
But I also personally believe it's doomed. 
(And I sincerely hope I'm wrong about that.)
(see attachment in previous post)
-40hz
i agree, especially with that last part. On one hand, I want the developers to be successful, on the other hand, I know this strategy doesn't work (if the end goal is financial success).
If you want to make money, you have to create stuff that people NEED. Just because something is amazing and cool doesn't mean people need it. Just look at Apple: we all criticize their methods and their restrictions, but they addressed a need: people NEED computers that are STUPID EASY to use. Did Apple create that need? Maybe, which would make it even more genius. But usually, companies address an existing need. If you're so good that you can not only invent a need, AND you're capable of fulfilling that need, then you're just a cash cow.
But so often, we just want things, and we make things that we want. Then we wonder why others don't want the same thing. It's because we started out by just considering what we wanted instead of figuring out what people actually need. Then we're frustrated at why people don't need this great thing that we wanted. So we start trying to make people need it (called marketing). But it's waaaay easier to first think about what people need before you start committing your time and money to it. Anyway, this is what I've learned in my young business career.