Neither bike is perfect (not in my head anyway) I have a Gen2 and the mrs drives a gen1.
For commuting to work I would take a gen 1, little bit more stable and more luggage options.
For a sunday silly gen2, bit better handling, noticably more powerful.
Brakes are better on the Gen2 but IMHO they are both **** and need some new lines and sintered pads. (In fairness I had an R1 before so I find most things have sh1t brakes!)
Gen2 mas no mpg meter which I liked, Gen1 does. Although I really appreciate the gear indicator on Gen2 (which tells me there is no 7th gear! Whats all that about?)
I'm 6'3" and fairly long in the leg and I find the gen2 better cut for leg room.
Not sure the gearbox is as robust on the Gen2 as the Gen1, time will tell on that one.
As for mode switch, I genuinely never use it as it only caps the power, does not reduce low down torque so not really that much use in the wet etc.
That said they are both great, if someone said I could only have a gen1 for the rest of my life I really wouldn't be disappointed!
It's a bike not a pension plan follow your heart !