One source of Scala's design is Java interoperability, much as C++ has to live with its C legacy. This compromise may also be why people are able to use Scala in practice, though; they need to talk to Java libraries or need the performance of a language that maps straightforwardly to the JVM.
Scala is a functional/object-oriented hybrid, making it more complex than a purist language in either mold. It always lets you do things in a Java-like way - you can use it as "Java with less boilerplate" and touch almost nothing Scala-specific. Then it adds functional programming alongside.
To me this feels very natural; I like objects for the big-picture structure, but I like to write algorithms and manipulate data in functional style. If you need raw performance in some hotspot, write a Java-like while loop with mutable state; otherwise, write something nice and high-level (and the JVM will still be much faster than a "scripting language" however you define it, e.g. http://blog.j15r.com/2011/12/for-those-unfamiliar-with-it-bo...).
Scala does fix some Java warts that are legitimately complex or confusing in their own right. For example, primitive and boxed types are less strongly separated; there's no "static", just nice syntax for singleton objects; collections are 100x nicer with far less noise; a nice multiple inheritance design; covariance eliminates a bunch of nasty hacks; better ways to specify access controls; there's a decent way to factor out exception handling; case matching is _awesome_; and _so_ much less boilerplate in general.
I'm not sure the static vs. dynamic religious war can ever be resolved, but static types feel less broken and less verbose in Scala than in Java. Java makes you lie to the type system, or do something unnatural, much too often. Scala hasn't cured every such situation, but it's cured a lot of the most common ones, and greatly reduced the need for manual type annotations.
Scala gives you the conciseness of Ruby, but with static type checking, higher runtime performance, and interoperability with existing Java code.
Some tradeoffs of static type checking remain, such as compilation times.
People do go on wild goose chases trying to push the language farther than it's ready to go. I've done it myself. I agree with the article that there are lots of areas to improve and appreciate the constructive write-up.
But on the other hand, the perfect shouldn't be the enemy of the good. I certainly would not choose to go back to Java, even as I'd love to keep seeing Scala get even better.