It's a good policy, although it does have some drawbacks. For Texas Linux Fest, particularly in the early years, we were wary of selecting too high a percentage of talks from sponsors/vendors (especially to the exclusion of individuals); that can be a problem.

A large percentage of the time, you can spot those proposals from their wording, but it's not sure fire. The other thing you can do to counter it is to ask people to disclose whether or not their talk is about a product. No guarantees there either.

(Still, ultimately, though my current reflection on the waiting process is just me vocalizing anxiety. Latest thinking there: it's different this time also because my topic is something I really care about personally. While at my last job, we were more or less required to submit talk proposals, so a fair amount of the time what I came up with wasn't necessarily passion-project stuff — more like "good to know" info or updates on ongoing work.)