To me this is a really interesting fight for a number of reasons:
-what does Tito have left in the tank?
-can Machida stop a good wrestler from taking him down consistently?
-can Machida either sweep or nullify anything a good wrestler with half-decent BJJ can do while on top?

Basically if Machida can beat Tito convincingly, I think he'll have demonstrated that he's the man to beat at 205.

However I have my doubts about how effective his takedown defense will be against someone like Tito.  For all of his "I think my standup is a lot better than his" statements, I don't think Tito is going to do much other than set up his shots.  Tito will be doing everything he can to take Machida down (if he doesn't, he's an absolute moron), and I don't think Machida has seen that before (at least not from a wrestler at Tito's level, the only person who he's faced that might fit that mold is Vernon White).