The ML1 sits somewhere in the vicinity of the Hololens 1 in capability. Some things it does better, some things it does worse.
For example, having a real controller was very useful as the input latency on the Hololens' hand tracking is a big impediment and not having a variety of physical buttons makes designing games with lots of different types of interactions really hard. I think Waltz of the Wizard on the Quest 2 is the only game I've seen with hand tracked input that isn't just "point and click".
Wider field of view than the Hololens was nice, but it came at the price of lower pixel density.
Being based on Android was a drawback for me, though. Hololens has a workspace metaphor, akin to a 3D desktop, that Magic Leap never really put much effort into. Hololens also has speech recognition as a first-class citizen, whereas Magic Leap left it up to developers to roll their own. It's really, really hard to get good performance out of Android, too.
A bunch of the other stuff was just too wonky to consider. The surface meshing was unusable in real life scenarios. The hand tracking as well. A lot of people don't realize that the Hololens could do full, positional hand tracking, it just wasn't a great experience, so everyone designed around nose-pointers and just using the hand as a clicker. The hand tracking on Magic Leap was even worse, yet they went with trying to showcase it.
I think, if Microsoft were to release a controller to get over the latency issues of hand tracking on the Hololens, it'd be strictly better all around.
I'm rather bearish on AR devices making a big splash in the consumer market, especially ones using waveguide displays. Waveguides are a technological dead end. There isn't really any room for them to grow by even 2x, when they really need to grow by at least 20x. Good AR application design is also excruciatingly hard. What you typically end up with is a VR app made shitty by having to run on an AR headset. Oculus' approach of starting with a VR headset and adding AR-passthrough makes a lot more sense.