I am certain Apple’s response to this “Netbook” era will be more of a new platform, not just a big iPhone, or little Mac.  The phone metaphor for a pad size device won’t work, but it probably will use a lot of the iPhone functionality, app store for sure, and apps in general should mostly be compatible.   Speaking of Pads (lighter version of tablets) and netbooks, this technology could be the biggest breakthrough yet.

From Pixel Qi – Home.

“We are a fabless developer of a new class of screens that use standard LCD manufacturing materials and processes.

The screens will be available for mini-laptops and ebook readers in high volume mass production in mid-2009.  Our mainstream laptop screens will be available in 2010.

The readability and legibility of our new screens rival the best epaper available today.  What’s new about our screens: fast video rate update (refresh), and fully saturated color at very low pricing because we use standard manufacturing materials, processes and factories.  Our screens use 1/2 to 1/4 the power of a regular LCD screen, and when integrated carefully with the device can increase battery life between charges by 5-fold.

The choice of the screens used in a computer, or any portable, can have a huge environmental impact.  Pixel Qi screens are the greenest screens ever made and will be critical to new generations of green electronics.”

Pixel Qi – Home.