According to Powerpage, Apple has in the works a palmtop computer, or mini laptop.
Sources who claim to have see one have commented to the PowerPage that an internal planning spec details that the new machines runs a stripped-down flavor of Mac OS X. We're told that it will finally utilize Apple's Inkwell technology to "write anywhere" and neatly fold into your pocket - rather like an enlarged Motorola RAZR V3 mobile phone with a keyboard.
Despite PowerPage's recent legal troubles, their rumor accuracy has been variable.