I disfavor free cameras as well. FFVII introduced the camera as a storytelling tool, and designers could use its placement to accentuate a scene and make the story that much more powerful. Giving a free camera further highlights the differences between custscenes and gameplay, and makes them that much more stark.

That said, I think it worked well for a game like FFXII which was based around freedom (story and gameplay!) and exploration. You got to explore the world when you wanted and so it let you look at things when you felt like it. During battles, I would rotate the camera until I was able to fit all the combatants in the frame, and then let it sit there and watch the battle play out. Actually did a good job resembling the more cinematic fights of FFVII-IX.