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You can get 8gb on a stick that will fit on your key chain for a relatively reasonable price these days.
I'm sure it will have a docking station type accessory or an external optical drive as you mentioned, but I'd seriously just use Daemon Tools + ISO's on a the flash drive to load stuff or even load stuff over a network. You only need to install stuff once tho.
It may not be the most high powered machine but it's light, tiny, and much more versatile than a PDA or smartphone with the possibility of using Openoffice or MS Office.
If some linux geeks get their hands on it, it may end up getting a nicely tuned OS that can take better advantage of the hardware than MS's Windows, however that'd be a long shot.
_ _ - - = = Pr3tty F1y = = - - _ _
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