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They are not working on a Wii title:

When we asked if that meant it was safe to assume the team's working on something for either Xbox 360 or PlayStation 3, we were told, "It's safe to assume we don't have a single Wii game currently in development since Okami. We haven't announced anything else."


There were rumors a while back that Sony signed them up for a full ps3 title, fulfilling their want to make a new IPs (rather than ports and chopped up ps2 titles). I think that may indeed be what has happened.

 

Edit: Actually, the Creative Director of Naughty Dog left the company and joined Ready at Dawn upon seeing whatever their new IP is.  RaD was originally formed by ex-ND guys, and I have a feeling their ties with both ND and Sony will stay strong. 

From PSP Fanboy:

Dan Arey, former Creative Director of Naughty Dog, has joined Ready at Dawn to work on the new project. Under Arey, Naughty Dog has worked on games such as Crash Bandicoot, Jak & Daxter, and the upcoming Uncharted. "It was actually a very easy decision to make," said Dan Arey, "because when I first got the chance to hear about this new property, I immediately knew I had to be a part of it and get a chance to join forces with the incredible talent over at Ready At Dawn Studios. These guys have taken the time to mature their team, their technology and this new concept. Believe me, this is going to be something special."