I measured the face on the Wii-Mote.  It's almost 6" across diagonally, as some rumors state.   Replacing the face buttons with a tactile, multi-touch screen (assuming it works well) would be genius because it allows game designers to go in either direction of simplicity or complexity.  

The downside is battery life & cost.  Also, it spells trouble in handhelds once the tech makes it's way to the iPhone.

Of what I've seen, the wiimote with a DS touchscreen in the middle makes the most sense.

It wont be a gamepad.  

Personally, I still don't quite see the point of releasing any of the moch ups released.  Its not enough.

If you're going to create a screen based input device why use a touchscreen atached to a controller?

@Happy Squrriel

It doesn't look fun & I think body types vary way too much for this to work as well as this guy would have you believe.  Perhaps it's OK for the typical flabby XBOX gamer but I'm too taunt.   

Next Nintendo consul technologies will all be aimed at.
Making 1st person 3D world navigation effortless and easy.

They want to make 3D worlds so easy Casuals will buy into the Hard core.

That screen on the controller.  Helps you look around in a 3D world so you can look down effortlessly to see where you have to jump.  (use it to look in any direction) In other word, look into the screen while looking Down. to see your feet and hands. Look down left to spot where you have to jump to next.

Head tracking.  Makes it easy to track distances.  

Basically there going to take away all the frustrations.

If they succeed they may hit the jackpot. Only time will tell.

Honestly, at this point I find it just as likely that this whole franken-troller thing is a ploy by Nintendo to buy time in between their meaningful releases...

You know, like Valve's ARGs

I can only see them going down the touchscreen road if it is easy to use. Just throwing a touchscreen on a Wiimote wouldn't make things easier. The Wiimote is easy to use because people are used to TV remotes. They are not used to TV remotes with touchscreens, though.

Now if the touch surface can simulate button clicks and haptics then that could be awesome. I hope it won't just look like a screen, though. They could use something like e-ink that looks like a normal surface to make it feel more natural. If they can pull that off I'm all for it. If it's just a regular touchscreen, even with haptics it would be too complicated to use. The "screen" / touch surface has to look skin to the rest of the Wiimote or people will be confused.

Don't agree with you guys...

Yeah - At this point, with all the rumors from multiple sources all reporting similar stuff, it can't all be a big lie

Even IGN is reporting it, and they seem pretty sure it's fact

At least some of has to be true imo

Pretty much my reason with disagreeing. I'm willing to bet that some of the rumours hold truth...