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ADO.NET Data service is the next generation of data access layer within applications. I have seen a lot of examples using it directly from a UI layer such as Silverlight or Ajax to get data. This is almost as having a two tiered system, with business layer completely removed. Should DAL be accessed by the Business layer, and not directly from UI?
ADO.NET Data Services is one more tool to be evaluated in order to move data.
.NET RIA Services is another one. Much better I would say.
I see ADO.NET Data Services as a low level services to be used by some high level framework. I would not let my UI talk directly to it.
The main problem I see with ADO.NET Data Services has more to do with security than with anything else.
For simple/quick tasks, in a Intranet, and if you are not too pick with your design, it can be useful. (IMO) It can be quite handy when you need to quickly expose data from an existing database.
I say handy, but it would not be my first choice as I avoid as much as I can the ‘quick and dirty’ solutions. Those solutions are like ghosts, always come back to haunt you.