There is absolutely no question that removing the varnish layer is a huge downgrade in cache performance -- both latency and throughput -- from Heroku's bamboo to cedar stack. For one, your application requests are competing with, and may be queued behind, cache hits for dyno time.
The disadvantages, to name a few, are: interpreted ruby (vs. compiled C) application level (vs. proxy level) memcached based (vs. in process memory based) blocking I/O based (vs. nonblocking I/O based). Any suggestion that the two caching strategies could compete at scale is ridiculous. You won't see much difference on a small scale. But if you have hundreds or even thousands of cache hits per second, varnish will not substantially degrade, while the cedar stack would require many dynos just to serve static assets in a performant fashion. (I'm seeing ~ 5-10ms dyno processing time for cache hits on cedar).
Cedar was built the way it was built not to improve performance, but to introduce new levels of flexibility over your application. While it allows you to do non blocking I/O operations like long polling, and fine grained control over static asset caching parameters, it's clear that heroku would like you to bring your own caching/bandwidth if your goal is internet scale.