Using large-capacity flash memory, and presumably intended to be used with a fingertip rather than a stylus as is the case with the iPhone and iPod Touch, the device would continue to rely on the controversial on-screen keyboard.

“One thing not seen by any of my sources is a keyboard: it’s clear Apple will not be using a physical QWERT [sic] keyboard for this device, instead relying on its patented multi-touch screen as the sole interface for user input. This may be the reason why some have speculated that Apple may be on the verge of introducing a new generation of its famed Newton PDA. However, I firmly believe that the shrinking market for dedicated PDAs puts those speculations to rest, although various PDA functionalities may in fact be included in the final version of the device” David Sieger, Seeking Alpha

An announcement at MacWorld next month is unlikely, as Seiger himself concedes that such a device would be early in the development cycle.

[via IntoMobile]