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I love the graphics, voice acting, combat mode etc. But it is so annoying that you finally reached the point of your quest where you have to kill a boss, and then you enter the room where another player just killed the boss and you get "quest complete" even though you didn't even touch the boss. Or, you just killed a boss for your quest and he respawns 10 sec after. This kills the story line of your quest.
I think that all places where you enter a certain room, or dungeon, should be instanced, so you don't feel like rushing through the area together with a bunch of other people and camp the boss. If you don't want to play these dungeons alone, you can make a group and enter as a group. But with public areas for every quest, it just kills the story line because everything respawns so fast.
The only parts I feel need to be instanced are the dream/vision sequences that are part of quite a few quest lines. Nothing breaks immersion like going into someone's dream and seeing a dozen people running around. I think some of the major zone questlines (for DC, that'd be Angof/Supernals/Montclair/Withered Hand etc) need instancing for some of the areas like main story and guild quests have.
Otherwise, I'm fine with uninstanced public dungeons. It should be substantially better now with the loot 'nerf' they just patched in.