I agree with that. I rather physical controls myself. It'd be alright for some racing games, and maybe puzzle games too. The touchscreen could be used in combination with the accelerometer for FPS type of games.
I also like the upcoming trend of "augmented reality" games. With the Zii's camera, it should definitely be able to do that. I think that's definitely one future path gaming will take.
Here's a cool example of an Augmented reality game demo using Nvidia's Tegra chip: [Linky]
(the game seems to be a bit of a rip from Sony's "The Last Guy" but the conept itself is cool)
[ edited Jul 29 (2009) 09:45AM ]