I use this with my 2 year old(27 mo), and the level is about right, I think a child who knows their ABCs etc would not appreciate it, but my son who was reluctant to use crayons loves to hear pooh bear or tigger talk to him. So he spends 30-40 min at a time coloring which he would not do previously. The basic ABC sheets are not very interesting, but we color a few of those and then move on to Pooh bear each day and I guess some of the information sticks.
For his age group, I have to play with him, but he is catching on to the go circle, and I am thrilled when he attempts to color within the lines, and matches specific colors with specific objects like yellow bananas... This is also a redesign. It does not have snap on templates with numbers, or the coloring template like the previous design. The blue lid which holds the coloring page in place does come off occasionally, but only if he tries to open and pry it off, not while coloring. I don't notice any problems with sensitivity so far, but if you are not right in the middle of an object, it won't identify it for you. Not a problem so far since he seems just too young for the game mode where this might lead to frustration.
For the future, I'm not sure if this toy will lead to independent play since you have to keep changing coloring sheets etc. All of which can lead to numerous toddler decisions and frustrations. Despite the high price, this is a great great way to encourage coloring / writing skills though for your boy who would much rather be playing with trains or cars.