• Frequently used buttons are now hidden from the main page, making you search everywhere for it. An example would be the button for a new blog post.
• More clicks are needed than before. Read: Module preferences button.
• It lags. More than before. Even when I am typing.
• Looks prettier, but no overall use.

Next, they will have a recommended RAM of 2GB just to view these pages. D:
(1GB would be the minimum.)

One update that is pretty useful though, is the list order thingy. No longer do you have to save every other list entry so the edited list item stays at that order.

Possible scenario at the Live Spaces Team:

"Hey, I just made the list order system."
"Ok, awesome. Let's implement it."
"Hey, while you're at it, can you just help order everyone's list items from bottom to top? I'm sure they are a bunch of noobs who couldn't manipulate the list to the order they want. Most probably they wanted the list entry at the bottom to be the first."
"No problem! I'm sure everyone would appreciate it and would not have to spend time reordering the list back to the original configuration."

Nah, just kidding. I take teh reordering of the lists a small inconvenience.