I've watched the Texas version, and found it interesting - granted this was the first week of the regional newscasts - in that the stories seemed a little more fleshed out and a little more in depth than you see on normal newscasts (3 minute+ packages) - almost like a Spanish television version of NPR's All Things Considered. (I haven't watched it recently to see if it's changed - just haven't had time...).
It did bring news to Merced/Fresno and Denver (which had no local news product). I don't know the full history in Arizona, but IIRC, Telemundo had been on either a low power station or a distant station from Phoenix, rather than a full power station in the metro area. Where the big loss is, in my opinion, is in the three Texas cities, Las Vegas, and San Jose/San Francisco (which have decent Spanish speaking populations, IMHO). The end effect is that there is now only one local Spanish speaking news outlet, which now has even more power to "direct" the way news is presented in these markets.
Where I think Telemundo should work on is partnering with other local stations to produce a truly local news product. In Dallas and San Jose, NBC/Universal already owns an NBC station, so I would think that there would be some synergy there with the English product (footage sharing, bilingual reporters). Likewise, I've been to Amarillo, Texas and KFDA/CBS/10 does a decent job producing a 5pm & 10pm product on their sister Telemundo station - there's some "duplication" of stories, but there's also a slant of stories to the Hispanic community that don't air on KFDA...
Likewise, there could be some station grouping (San Jose/Fresno) - but keep the production local to the local community, not out of Fort Worth, Texas...
And some folks wonder why Univision's local news just jumped up in share in many markets...
Jim