I've really enjoyed it. I'm a big fan of the System Shock and Bioshock games, and Prey definitely has that vibe.
The Talos space station itself is really quite amazing, and the story telling is very well done through emails, audio and video logs, and interaction through a few NPCs you run in to along the way. System Shock, Bioshock and Dead Space all did this very well, just like Prey does. It slowly unfolds how the wheels fell off and when the shit hit the fan.
The combat, at least in the early stages of the game, is painful. It's honestly better to run or sneak away from most encounters. I'm hoping it gets better as you gain weapons and skills, but right now, it sucks. Granted I'm only four or five hours in, and a lot of that has been spent just wandering around searching for stuff.