Chess is so outdated...

This is like saying that DA:O or D:OS combat suck because they aren't as action based as DAII, Skyrim, or Diablo, while in fact they have completely different and valid design choices that many people enjoy playing. Different styles for different players, I say.

Yes, you're comparing different kind of games (RPGs). FFXIV has taken a more classic (classic != outdated) aproach with his "turn" and stat based combat, and that doesn't make it bad per se. Different people have different tastes, after all, and the current system fits well in a FF MMO (it's quite similar to FFXII in some fronts, in fact). That doesn't mean, though, that it can't be improved and expanded (I miss playing with elemental resistances and weaknesses, for instance, or a more complex materia system).