Not 100% what’s the definition of “checked suitcase”, but from the guesstimated size of this I assume it is meant to also be used as cabin luggage on planes? My first thought: Given the physical restrictions for cabin luggage a design like this means wasted space (the empty space caused be placing the wheels like this is included when the volume of the suitcase is measured). If the point is to the move the wheels away from the case (to avoid hitting the back of the suitcase) these should ideally retract when the case is stored (that is, ideally they should retract with a sturdy mechanism that costs next to nothing;) ).
Edit: I don’t use a suitcase like this myself, but is hitting the suitcase with your feel a real problem? I don’t get that impression from watching people using them. My main issue with them as a non-user is that people walk in crowded spaces with them and forget that their now a meter long.