The answer is: All three! 
We have soort-of real time until any opposed action takes place (hacking, casting, combat etc.) that sets off any sort of opposition reaction. Then we go turnbased.
The screnshot was indeed built from the engine, so not representative of the game rules, juts the game visuals.
Thanks for the clarification, Primetide.
I've been playing a lot of the JAO beta for the past week, and I have to admit that the turn-based action has grown on me--but I've also been playing with a squad of no more than 2 to avoid the tedium of moving all the pieces. (For me, controlling more than 2-3 characters in a turn-based game is a chore.) So at this point my concern isn't so much turn-based combat, it's really that combat needs to maintain some momentum.
I found some places where the topic is discussed in the "Big SR thread", and based on your approach I have faith in Cliffhanger's ability to strike a good balance. But until I see it executed--which now sounds like 2013 (I was hoping for a marketing strategy built around a Dec 2012 release)--that aspect will keep me anxious.