Non-removable battery is a choice which a lot of people are OK with. If the battery doesn't deteriorate, at least.
No LTE doesn't affect people on non-LTE networks (eg all of Ireland) and isn't a deal breaker for people who mostly connect via wireless (eg all those people who are happy enough with highly restricted data plans).
If those two things contribute to the attractive price and/or design then for a big group of people these are good things. They still get a phone that works great at a low price without paying for features they can't or won't use.
This isn't the highest end phone on the market, but it puts a a lot of computer in your pocket at a price that people will be willing to pay.
Honestly, I'm drooling over the newer model before the battery in any of my phones deteriorates to the point of being useless. I really like the option of induction charging (like on my Palm Pre) and not being able to change the battery doesn't bother me one bit.
Also, I like the fact that a sealed case gives lint/dust/dirt less of a chance to invade my phone. I have a Galaxy Nexus and I have to take the back off every so often to clean the gunk out of the speaker & camera lens.
The worst part about a non-removable battery, besides no replacement, is if the phone is dropped. The battery usually ejects and takes the force of the fall. I have never had a phone case and have dropped my 3 droids many times without incident.