Obviously, Red workflow is not THAT hard, especially if you've done it once, and other cameras that get work over the red because of workflow like the alexa or 5D aren't THAT easy, but it is VERY difficult to kick the stigma for a large number of people that the red workflow is time consuming and expensive to finish. Especially for very low budget projects. And some projects are just not that interested in the raw. This would be a great way of bringing the Red onto projects with limited budgets and very tight turnarounds, which is all too familiar these days. For instance, almost all industrials are that way, and would love to use red, but hate dealing with any extra steps. This unit would enable DPs to shoot red on all kinds of work that would have otherwise just shot on an easier native format to deal with in post. Thanks for this thread!
One note: If such a unit existed I would hope it would be firmware upgradable so that it could spit out other professional grade formats other than pro res, just because we dont' know the future of Pro-Res.