I don't know much about their methods, but they mention that the device output is mechanical, which in turn requires generator technology to harness any power output. If the output is mechanical, they're doomed until they can overcome gravity and friction, which is of course, a very tall order...
Permanent magnets can fool you into thinking they can do this on a small scale, but will ultimately fail when the prototype is scaled up to a size that can output any useful electrical current. Large scale devices will require electromagnets, which will very likely consume a great deal of electricity. (Size dependent) Much more than the device can produce.
Many small scale magnetic devices can function for a very long time before halting. This doesn't cut it... Nor does a device that needs to be "started". If a device can't make itself go from the beginning, it's not able to overcome the laws of physics, as a free energy device must. A simple, but often overlooked concept. After all, the original impetus to start the device is not 'free' is it? How much energy will be required to start the large scale device?
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