It'd be a HUUUUUGE mistake to get rid of the internship requirement. While people don't like the application process, the learning is hard to explain away. Many interns come in with significant deficits in certain areas...many of which had 1000+ hours. The quality of practica training is always a crapshoot, as is the breadth and depth of the training.
Interns don't know what they don't know, though not as bad as advanced practicum students.
I came in with a pretty well rounded training history, but I definitely still had some deficits. If I stepped into a job, even after 5 years of doctoral training, I would have struggled. I think of internship as the last opportunity to fill in the gaps and polish up some of the areas of strength.
I think we are as well prepared (or better) as the interns who came out 20 years ago, but I'd worry about speciality training if post-docs were de-emphasized. They should absolutely be required for anyone who wants to work in a speciality area. If I had my druthers I would require post docs for any board elligible specialities. As for licensure after internship, it is a double edged sword. I don't worry about the 80% who are very well prepared, I worry about that bottom 10%-20% who squeak by.