Do people actually want to snipe with VATS? You're already at an enormous advantage at those long ranges. If you crouch, your enemies are likely completely unaware of you, meaning everything that is not a cazador is walking at a very slow pace or idling. If you hit the target with weapons with the appropriate range/FoV zoom, you score astronomical damage.
He's got a point. Imagine clearing Quarry junction if every single hit was guarenteed. With VATS at long range, you have all the time in the world to wait for your AP to regenerate, basically turning a careful operation like Quarry Junction into a patient game of shooting fish in a barrel.
I'm sure there are people who would like to play the game purely in VATS, if they could, but look at Fallout 3. You could definitely play Fallout 3 in VATS and in VATS alone, and look what happened: it was ridiculously overpowered (I remember timing my VATS entry to get the massive damage reduction if I knew an enemy was about to fire a rocket, and it always worked) and free-range fire was completely inferior. I recently tried replaying Fallout 3 and I was so used to free-range fire from New Vegas that I never used VATS. The game was x1000 times harder. Enemies just weren't taking the same levels of damage that they would in VATS, and I'd quickly run out of ammo and stims from all the long battles. It'd be very difficult to find a balance that would allow players to play both FPS and RPG style without one being superior to the other. As it is now, the FPS style is usually superior, yeah, but VATS still has it's merits. Compared to Fallout 3, I honestly can't name a time that the FPS style was superior, cept on ocassion when sniping with the Lincoln Repeater.
As for those saying VATS doesn't work on mid-range, have you even tried it? I've walked down the I-15 dozens of times and seen Bloatflies and Geckos at decent distance. Bloatflies are hard to hit and those geckos are always running. On ocassion I'd try VATS to get the kill, and it would always tell me my chance of hitting is 13-20%, but when I actually did it, my accuracy felt more like 50-60%. That's plenty for mid/long range, and this is on a character with Fast shot.