I like the idea of the formfactor & size too. I think the major hang-up will be if it supports existing PIM systems; i.e., LotusNotes and Outlook. If not, it will be doomed to fail as no one will want to have to redo all their work in multiple programs; you know, these things are supposed to make life easier, not more difficult.
Looks to be a sweet device, let's hope that is it follows the iStuff line that it at least has a more durable enclosure and doesn't get all scratched up from being too pretty!