Heh, 2nd edition VBAM has been coming out "real soon now" for like two years.
I ran a four player blind game for a few months. The brain exploding part is accurate as it took me two complete readthroughs with a few pages of notes to comprehend the whole thing. The galaxy creation is brilliant. The only really weak bit is the Transport rules; it actually caused a fight that broke apart the game. (Finishing the game was on track to take a whole year.)
As far as the integration with Starmada, it does the technology research very well, and it makes use of the more esoteric ship systems in very interesting ways. You'll have supply ships and repair ships and scout ships which are awesome. But the scale is off. When I play Starmada in the Simplest Campaign System, the average fight is 1400 points and it takes a few hours. Starting income in VBAM is 60, and a full 2000 point fleet costs 95. Kinda huge to be churning out points that fast.
If I had it to do over again, I'd play Sovereign Stars on a VBAM map. Or some other hybrid.