I also use 1.6.x and did need an ST hub for setup. But since then, I've done it with 2.0RC1 and no ST hub a couple times.
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Hubitat targets users who are savvy enough to understand the difference between local and cloud-connected devices. I think everybody would be better served if the promise was "local processing when possible". This way, people would be able to choose between local and cloud devices as appropriate for their particular setup.
For example, if I want to automate one light all the way off in the far corner of my house, I'd rather put a WiFi switch there -- even if it's cloud connected -- because I don't want to build my Z-wave mesh that far out just for one switch.
In fact, this is the exact reason why I started out on ST as opposed to HE: I wanted my setup to "just work", and HE doesn't "just work" with the devices I had.
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I am surprised that HE doesn't get more credit for the browser user interface using a computer but instead gets complaints about the phone app. If I had to do everything that I have done setting up HE using a phone like I had to do with ST, my system would be MUCH simpler. I have seen a post on the ST forums where they are teasing a browser-based computer app but it's been in beta testing for a looooong time the best I can tell.
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@dsegall you are spot on and if they continue marketing it that way they will never grow. The key is to have the depth of functionality that is necessary for active enthusiasts but starts out by not overwhelming newbies. If I were leading the charge at HE, I would invest in some world class UI/UX people because as of right now they will never win over the mainstream users with their current interfaces.
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Months ago, I tried to create an alternate account thinking that I needed to test a bunch of things on the new ST platform, while leaving my existing account (with a physical hub) alone. I was never successful. It seems I need a real physical hub for the 10 mins it takes to "open" the IDE to allow code... or use code. But without a physical hub, I couldn't get far.
I had X amount of trouble creating a hubless account, but was able to overcome. I may just not be ST aware enough to get past the very first custom code hurdle. (Also known as 'not smart enough'. 
) So I have the two accounts and of course I no longer need the Classic App, so I don't need the 2nd account, but I would love to have the recipe in my stack of useful replies. 
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As has been mention here, the primary advantages are to work when there is no internet. Setup via web browser is also so much easier, even if you don't personally like the way the UI looks today, it's much simpler to use and solve configuration issues than with an app.
It occurred to me about a month ago that I no longer push buttons around the house and pause to see if they work like I was used to with cloud based hubs. Everything is as reliable as if it were a directly connected switch.
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100% this. I really started being less suspicious that everything would work properly after the last firmware update.
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My internet was just down for 9 hours so I was very happy to have moved!
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The Number one advantage I see is the User Interface. You can set-up your entire Hubitat system from a browser on the same local network as your hub. This is so much better than needing to use a phone app. I consider the User Interface for Hubitat to be the best out of all.
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One big thing I find between ST and HE. Firmware update and backup.
There's no choice in ST for firmware update or backup. Your hub will be down when they do the upgrade. Sure, they email you ahead but when you are away and they push that update. There's nothing you can do.
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While I love my HE, and agree with everyone that local processing is great. I whole heartedly disagree that the UI is a benefit. They only part that is nice is processing via web vs having to use a mobile app. But the UI itself is early 2000's garbage and scares newbies. It exposes all the functionality at once at the top level and creates a massive learning curve. Like I said in a separate thread, that is one of their biggest barriers to more mainstream adoption. That and the ghetto look and feel of the dashboards in the mobile app.
Everyone is entitled to their opinion and I respect yours. I know for myself I love the User Interface and this is coming from someone who is older and has no experience in computer programming. I found the learning curve to be fairly easy and if I can do it, I am sure many others can as well.
As for as Dashboards on the mobile app (or a tablet for that matter), their look is completely up to the user. Build it and make it look however you want, the customization options are endless.
Purchasing a large number and wide assortment of home automation devices (Zigbee, ZWave, Lutron) and then building the automations to control all of these devices (on a local device), in and of itself requires an individual that can think logically and somewhat abstractly. By no means do you need to be a computer programmer, but you need some abilities in these areas. I believe the Hubitat staff know and realize this. I don't think they are after billions of users (like amazon and google), but believe they are after millions of users. These millions of users are the people with the skills listed above that are interested in building a local home automation system.
Most of my friends would never buy a Hubitat, they wouldn't even use one if it was free, but they will buy a Google Home device or an Amazon device, it is brain dead easy to set-up and to them does something they consider desirable.
Hubitat's user interface fits their consumer profile well and why adjust to fit a consumer profile that you are not after. Since I have been a Hubitat user, I have seen the popularity of this platform grow immensely, they are most definitely growing their user base. I think their current user interface hits their target market very well.
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I'm with @Stephan.J - I don't find the UI intimidating or difficult to learn. And I greatly prefer it to a phone app. Speaking of which, I find the new SmartThings app much harder to navigate productively relative to the classic app.
Like everything with Hubitat, there are alternatives - Sharptools if you want something external or the Smartly skin engine if one prefers to stick with Hubitat dashboards.
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Totally ok for us to agree to disagree. We should all be aware that they are limiting market penetration by not creating tiers of visibility to features. While I personally don't take huge issue with the design, many others do and get scared off by it. So as long as Hubitat is happy with a more limited total addressable market size, all power to them. If they want to be formidable to ST, they will have to up their UI/UX game. Thats all I'm saying.
Hubitat has said almost exactly this a couple of times, so you're in great company. They usually follow it with words like: "If you're a UI/UX designer, propose something, we're open to improvement"
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Wasn't aware of that but that is great to hear. I actually come out of the business process automation space and have had to create a "veneer" around some very complex BPA interfaces to be used by entry level employees that were ready for the full functionality of the product. Maybe I will reach out with some mockups for them to explore.
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It's interesting - I've done a fair amount of "corporate" web applications and they are usually very basic in terms of the UI compared to consumer ones. HE kind of reminds me of this.
There is also the "minimum viable product" concept that seems to be a hot thing right now. Get your product online then adjust as needed afterwards.
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That is most definitely an opinion and not a fact.
You are right that their user interface will turn off certain people/users. This would happen with any interface they choose. If they where to implement "tiers of visibility to features" in their user interface, it would turn off me and I would have been less likely to adopt Hubitat. Once you realize that any user interface you choose will turn off a certain population of the market, you just need to be sure the one you choose is good for the market you are going after. This is what I believe Hubitat has done well. I think they are way past the stage of being formidable to ST. ST is on its way down, Hubitat is on its way up.
I do appreciate your viewpoint and I am sure there are many others that share it.
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Yup. I hate "pretty" layers that get in the way of my accomplishing my goals .....
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So, are YOU responsible for these awful ChatBot websites we now have to suffer through? 
Just kidding!
But I do hate having to have a stupid conversation with a chatbot to renew my car registration!!! It was so much simpler before to enter data into text boxes on a web page. Not sure what NC DMV was thinking! 
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