I don't think anyone is suggesting that this device is for laying flat on the table and typing. ....You hold and type on it in much the same manner as you would the N800's full screen keyboard, except that the screen is above your thumbs instead of under them.
Yeah, I'd prefer if the full screen keyboard still allowed you to see part of the application, the way the stylus keyboard does. Sure, it'd be a tiny part of the screen, but it would feel more like live input than what you do now.
If they're going to make a larger device, then I don't want to see a micro-laptop. As much as I have some like for the idea of a "laptop in my pocket", even if it's my jacket cargo pocket, having the keyboard at the lower edge of your device isn't really a good idea.