Earlier quoted context omitted.
No, they're not entirely unsuitable for urban areas. Instead, their (relatively) short range means that they're unsuitable for anything except urban areas. If designed poorly, they would be very unsafe, but there are plenty of ways to increase the safety. For example, notice that the drones have more than 4 rotors. This gives a bit of redundancy so that a motor can fail without causing the drone to crash.
Can't wait until the first time one shreds a customer's dog, (or face, child, etc.) as it tries to deposit a package on her front porch.
Can't it drop each package with a mini parachute from about roof-top level with good accuracy? Or even 10ft, just above the height of most kids, dogs, cars and adults.