Brilliant new computer interface design

Watch the video:
http://10gui.com/video/

I don't know if this will really work, but the brainstorming and work that went into it are clearly high quality.  I'm not sure I would bet against this.

The one thing I would add is to build the keyboard into the touch sensor.  You would need some sort of toggle to switch from navigation pad to keyboard.  And the pad would require some sort of minimal illumination that could show you the outline of the keys, for those of us who still look down at the keyboard sometimes.