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Conclusion: Silver is a powerful biocide.
Well, the stuff will turn you blue: http://en.wikipedia.org/wiki/Argyria
They seem to be saying that the popular medicinal use is not effective as silver isn't delivered in the correct ionic state to the body - we don't have nitric acid in our gut to dissolve the metal effectively. I know I got some prescription silver based cream that is very loud about stating external use only.
Anything anti microbial is subject to the same caveat - continued use of it at low levels encourages evolution of things resistant to it. So it's a cure, not a prophylactic in best use.
Evolution of resistance to colloidal silver is another pharmaceutical fear leveraging act.
FWIW - doesn't work on MRSA worth a darn.
Good on most other things, as you say.
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