Took me a while, but I think I reasoned it out.
On the biopace/ elliptical chain rings, they should be set up so that when you're in the middle of a power stroke, the long side of the ring is pulling the chain. So it's like it's in High gear at that part of the stroke. Then 90 degrees from there, where you don't get much leverage, it's like you're in a lower gear, which lets you flip through that part of the stroke quicker.
If you turned it 90 degrees, you'd have maximum leverage (low gear) at the mid part of your stroke. That would let you get up hills better, sort of. You'd still have to fool with the rest or the stroke, which would be off.
Anyway, it looks like this is in fact just an elliptical chainring. What is different is that flipping that switch lets it rotate 90 degrees, from one position to the other. That gives you a "high" gear and a sort of a "low" gear.
I assume if it worked well, we'd all use them. I suspect though, that the two positions don't really feel all that much different.
Something else not obvious is that the peg on the crank arm keeps the chain ring from rotating, but the lock nut should be pretty tight on the chain ring, anyway. So this has to be put in loose or something so it can switch, which is liable to introduce some funky rattles and odd feelings as you ride.