Updates have always been the very basis of not just redstone but the entire block paradigm of minecraft, and for many people manipulation of updates and their order is an integral part of playing with redstone. It has always been the case that components can and do give out updates separately from power. The simplest example is: a redstone line that stretches NS or WE will still update blocks not only next to itself (even though it doesn't point there) but 2 blocks away in ALL directions. The same applies for torches, repeaters, comparators, and now observers: if they CAN power 2 blocks away through a solid block then they MUST give out updates to those blocks independently of whether something is in front of them or not. The ONLY exception to this rule is QC and MC-108 has been confirmed WAI and the devs promised not to remove it because about half the redstone community would stop playing immediately if they did. Summary: power is simply a separate mechanic from updates, and changing anything about the update system of minecraft is a ridiculous idea in the first place. It would break EVERYTHING. An overhaul of the update system is something for minecraft 2.0 NOT something to be done behind our backs in a "bugfix" for something (MC-107730) that SHOULD have been WAI in the first place.
Probably no one cares about this ticket anymore but i'll just say this: this was not a bug! This is how piston BUDs always worked because redstone components that can power blocks ALWAYS give out updates at a range of 2 in the direction they are able to power. This "fix" needs to be reversed.
Please change this back to signal strength 1. The new signal strength 15 makes observers much less unique and useful.
The instant reaction time is potentially very harmful to the future of Redstone. So far, every Redstone component leading up to the observer has followed the philosophy of purposely having a built-in delay even when delaying signals was not its primary use. This instant reaction feature of the Observer is a major break in that overarching concept.
Unless the Observer gets a delay, it will end up replacing Redstone Dust for the majority of purposes, not least of all due to the Observer being so much more convenient to use in nearly any situation since it not just gives off power for other components to use but itself powers blocks directly, a feature that we have not seen before for blocks that did not require a basis to be placed on like the torch, repeater, dust, etc.
Another major advantage over dust is the way its updates are processed: not only is its update order when chained with other Observers much more predictable than that of a Redstone dust line, but a chain of Observers will create exponentially less lag than a line of redstone, and that alone will be reason enough to choose the Observer over dust every time the choice is given.
It seems to me, a near total replacement of dust by the otherwise very thoughtfully implemented Observer cannot have possibly been the intention behind this block, but i would welcome a comment from Mojang on this.
Don't know if the mods here have direct contact to the devs, but just wanted to say, great snapshot guys! You listened to the community's feedback and made observers less op by giving them delay, and at the same time you kept them a very useful block by giving them back the 1 tick pulse output. I also love how you made them not detect block updates (which was causing the controversial "air block chaining") but rather complement instead of completely replace the classic piston BUDs by being block state change detectors. Not only that, you fixed the rest of the redstone you broke recently, which is as it should be. This is how you keep people motivated to play minecraft, this is how you keep a great game great! Keep it up. One tip: if you want to make observers the best block they can be, let them output signal strength 1 again. That was a very unique feature that made them even more useful than they already are. Thanks!