If the goal is to balance the player base and reduce wait times the upcoming character transfer is a step into the right direction. However it will not solve the problem for a lot of servers.
My advice is to create servers and enable a xp and harvest multiplier on it for a specific period of time. That way people dont have the feeling they are wasting their time or their time was wasted.
Also, what if 1000 people want to transfer to a server with a 1999 player count, then on that server there also will be a queue. Which will be the exact same problem as now.
So amazon, please use your brains before just enabling a character transfer.