My first reaction to the now-revealed Nintendo Revolution controller was to think of every remote control I've ever used. With very few exceptions, they're uncomfortable and hard to get to do what you want them to do. But after reading that 1up article, and watching the intro video, I started to get it. "Revolution" is the only word that fits. If you think of this as turning a television into a three-dimensional DS-like touchscreen, the controller design makes a lot of sense.

Joystiq has an overview of Iwata's whole keynote, with a lot of his (and Nintendo's) rationale and point-of-view.