Well I think this will be good for sim racing. This title could potentially sell very well and could likely be one of the best console racing games. I think this could help promote and grow sim racing. However, to make a title fun and enjoyable on a console I think you need to have some special settings/numbed down sensitivity for controllers to work well, and I also think that having slightly more forgiving physics helps as well.
Also, if someone is a more casual console user and just wants to hop on, drive, and have fun, chances are it is more enjoyable to not have to race in a dumbed down beginner mode with a whole lot of assists. I just picture someone who is casual with a controller and only occasionally plays having more fun with a title like the f1 series on intermediate or advanced settings rather than something like AMS rfactor2 etc and having to lower the ai speed to the lowest settings and add all the driving assists to compete.
I think it is quite likely that having the physics as accurate as possible may not be the top priority, but an overall fun and accessible experience that blends a compromise between casual and hardcore will be the priority. Just my guess.