Even assuming efficiency while continuously running is no better than existing electric heaters, which it may not be, there are still reasons why this would sell. It may be manufactured for a lower price and cost less to buy. It may get government subsidies if seen as a green technology. It may be just cool for greenies to own. Just like people now buy all the "eco" models of various cars even though it's well established it doesn't make financial sense. It may have much lower maintenance and less calcium deposits, heating elements being dissolved or covered etc. meaning much longer life. It will get up to the needed temperature much faster than heating through contact on a very small surface area. It will have no wasted heat in a heated element once the water is switched off. For frequent on-off scenarios this may add up to a lot. There may be some applications where this type of heating is much more desirable (faster and more uniform) than having a heating element. It may be just cool for early adopters to own. I'm not into that stuff and still if presented with a traditional unit and a microwave one for same price and efficiency I would choose the microwave one. And it may actually turn out to be a little more efficient in every day use...