Yup. These systems are cropping up in numerous US cities. I live in Madison WI, which has a growing bike share system using the same technology.
I've looked closely at the bikes, and they look like what an engineer would design if they wanted something that would require little or no maintenance.
I'm guessing the issue is that there's something about the geometry of a frame that has to accommodate a wide range of people. I've had the same problem with old fashioned "ladies" bikes, but then again, the people for whom those bikes were made, got around just fine.
I've looked closely at the bikes, and they look like what an engineer would design if they wanted something that would require little or no maintenance.