I was about to say that this is a debate for another thread, but I guess this really is THAT thread, isn't it....
So, here goes.
I think Lucas has always excelled at creating a compelling storyline, but his characters have always been very dependant on performance. When Lucas takes a hand in sculpting performances, things go wonky, because his focus is always on the overall tale, and not so much on the moments that create compelling characters. He's at his best when he does the outline and allows someone else to flesh it out, I think.
I don't think actors should merely be "an element" in the scene. It should be about what they're doing, not what's in the window behind them that takes up most of the director's attention. I beleive he did himself a mis-service by insisting on cutting together shots. It's clever, yes, but some question of the scene needs to be considered in terms of connection between real people feeding off of each other. That's an atmosphere of creativity I think is lacking on camera, whereas it's abundant behind the camera.
Having said that, I do enjoy a good CGI Wankfest. I find the prequels enjoyable and quite palatable, if not terribly filling.