As an Instructor, I have seen & used both the tradtional separate Octo and the Air II-type integrated octo/lpi. Personally I will stick with the separate AA on a long hose, whether it be an octo or a pony.
Although the idea of handing off your primary in case of an emergency seems a good one when you're sitting here at the keyboard, in real life it has several pitfalls. Not the least of which is the fact that most primaries are on a relatively short hose. That makes for VERY CLOSE quarters when you have to swim to the surface during an OOA situation. Just how easy is this procedure when one or both divers are stressed? Not very.
Reason #2 is that in an emergency very few people will give up their primary. The only case I have seen where people do this is when the OOA diver physically rips the reg out of their buddy's mouth when they panic during an OOA situation. IOW, it wasn't a conscious/voluntary decision on the part of the donor to give up h/h primary.
I think if you look at dive professionals (DMs, AIs, Instructors) you will see that most, if not all of us, prefer a separate 2nd stage on a longer hose as an AA. Brightly coloured & properly secured in "the triangle", it is easy to see & use. Claims that it creates more drag and gets tangled up in stuff are unfounded.
Just my $0.02's worth,
~SubMariner~