A lot of people are not experienced with RPGs and MMORPGs but the problem isn't that you can't phase out the real world. There's going to be tons of people around and it's not as if you get to tune out people who aren't on your part of the "quest" like you can in WoW. It's going to be rather difficult, not necessarily impossible but difficult, for a while, to get the full on story-telling experience this is suggesting. They'll need a lot of staff and people available to interact. Plus I'm sure there will be some people who don't get much or any interaction at all while others get more. So that'll be a difficult balance for them to walk.
I'm really looking forward to it, it's like RPG IRL but I hope the cost and bad behavior doesn't ruin it for everyone, is all I'm saying.