Yes, it was intended to convey dialogue while showing off their beautiful concept art. While also doing something a little different.
I liked it personally but at the same time I didn't like it. I felt it was stiff and things didn't flow well, part of that was the audio editing where it sounds like a tape being played back to back with the awkward pauses between each persons dialogue, it didn't flow naturally. On top of that, the emphasis on the characters showcases the stiff reused animations really easily compared to talking during the game when the player has control.
I do wish it had worked though but it just didn't for the reasons stated above.