I know what you mean in regards to developing muscle memory. Rocksmith 2014 seems to have improved in this way - after a few plays it seems to be more stable in terms of song difficulty. In other ways, Rocksmith 2014 is all around a big improvement from the perspective of someone who could already play bass (not particularly well, but ok), but not guitar. I suspect it's probably better for the absolute beginner as well, but seeing as I didn't choose that option when setting up my profile, I have no idea how it eases you into playing.
I really do wish that there was a way to show proper score instead of the 'tab' though. Another wish would be "half-master mode" where instead of hiding the tab completely, you just get lyrics + chords to work around (for bass).
Still, I'd strongly suggest buying a decent second-hand guitar or bass and a copy of Rocksmith rather than a probably quite poor quality guitar with flashy LEDs.