Has some interesting ideas present, but interfaces of this nature aren't entirely feasible given our current display implementations. There's also the issues of differentiation between files on the desktop and how application windows come into play, both of which they appear to be answering sometime in the future with the currently non-existant FAQ.
Something following the design of the Nintendo DS would be ideal, with a lower screen that would lay flat on a surface (acting as the virtual desktop) and an angled one that would behave like a traditional display (showing application windows, etc.).
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