OTB: he has the action of what is called a 'climber'. It looks as if the horse is bounding in front like a playful puppy and it does, as you say, involve enough time in the air to not be as effective a locomotion as NEPHRITE's. All deviations from truly straight, forward-moving strides detract from speed and energy efficiencies, so it's a fault of biomechanics, if you like.
A horse like the malformed ATTRACTION overcame her seriously wrong front legs by leading for most of the race with her 'best' leg, effecting false lead changes from time to time as that leg tired. That is, she made a slightly higher stride, as horses often do when they switch a tiring lead leg - but in her case, this merely rested the leg for a nano-second, before it continued its lead work. Near to the finish, though, she knew she could lead with her less-tired but more wonky leg, and would switch to that to finish her race.
So, BORN TO SEA is a climber, and you'd probably want to view that action in the same light as one with rounded action, where the legs seem to form circles as the horse runs, and those which hit the ground rather hard, due to running mostly on their forehand and not optimising their rear-end power. None of these have a fluid swing-and-glide action, with a straightening front leg, which is the most desirable, and will probably find softer ground kinder to their run styles than firmer surfaces.