Id rather say that this means the sensors can get bigger for compact cameras and phones. Currently the only thing that limits us making pocketable full frame cameras with zoomable optics is the size of optics, not the size of sensor or other electrical components. Flat optics might make full frame camera phones even possible.
I doubt this is a big advantage because you would capture everything that is close to the sensor (dust, fingers, scratches etc.). A lens effectively applies an extreme low-pass filter to these things because they are massively out of focus.
From my own experience I can say it would be an enormous advantage when shooting in low light. At least for current sensors. Where I am living, for four months in winter have only limited hours of dim daylight and current phone sensors are pretty much useless. You are right about dust though and extra care has to be taken, but it seems as a small inconvenience to me compared to sub-acceptable noise levels.
