this is not handy. way too confusing... one must remember every position of their apps.
I disagree. Remember, this is just a simple prototype. The basic idea is worth exploring. The shrunk peripheral icons makes it easier to pack in a lot more available apps on a screen without making it feel cluttered.
There are many ways to improve up on this basic idea to make it much easier to navigate. You can have separate pages and folders still. Or you can have different "views" that show "All Icons" "Specific Category". You can make the circular icons free-floating with only a specific minimum radius spacing. Thus you can make free form designs. For example if you want to set up a line of icons with only 4 icons per row, or if you want to create an 8 point star with each point containing certain categories of apps. Or whatever shape you want. The navigation would be restricted only by the boundaries of the shape of your overall "icon map".
Not sure my description of what I'm imagining is clear, but I think at the very least, it would be interesting to test. So many people are too quickly dismissive of early forms of ideas.