"You still have to have a way to compress the air. 1)You'll need a motor to compress the air or 2)have a tank with such extreme pressures (psi) that you'd be driving a bomb."

1:
You could get compressed air from liquid air, you can buy liquid air and it's cheap. *Someone* needs to compress the air, though this process is pretty efficent. You would need a way to keep the liquid air cryogenic. If you are only storing the liquid air in your car for short time (or it's a public car) then it's not very hard to store.
2:
Cryogenic liquid would have some risks associated with it, but not any much worse than gasoline.
With cryogenic you would need to heat the gas, but might be possible to use ambient temperature. An engineering solution might be to combine small high pressure tanks with cryogenic storage allowing for more quantity so the car has some range.

I don't know the details on this car, but it's not going to have a lot of total energy, so the best it's going to have is limited capablity as compare to a normal car. it wouldn't be cheaper than a normal car, but if high value is placed on having no pollution in some areas but might in some ways might work better than electric.