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They are fine. Function just as good as the externals in my opinion. the only problem being when it dies and you have to replace it. its kinda a pain to have to drop the tranny just to replace the slave cylinder. given the choice between the 2, i'd prefer the external just for that instance when it breaks.
its funny that you posted this, my slave just kicked the bucket yesterday on my way home from work.
When I first bought my truck the internal slave was leaking. I had to add brake fluid constantly. I replaced the clutch and the slave at the same time. To this day I cannot understand why the slave was mounted inside the bellhousing? It works great now though. The clutch is nice and smooth. Good luck!
The internal slave cylinder eliminates the need for a clutch fork, another part that was prone to breaking and/or bending.
When everything is working properly, its a good system. Failures happen, this one just happens to be a PITA to replace. I'm a little annoyed that it died after 2 years, but I'll live.