Those manufacturers of multitouch devices of the high visual quality and resilience of the iPhone's might have another option from Sharp. According to Impress, the LCD veterans have made a 3.5 inch, 480 x 320 screen, capable of multitouch. These can be made up to 12 inches in diagonal size. Perfect for a portable.
Sources of mine have speculated that the iPhone's German-made Balda screens fail at anything much larger than iPhone sizes, potentially one roadblock in a multitouch display/tablet from Apple. Sharp LCDs are some of the best out there, with Samsung. But they have been known to have uneven backlighting. I wonder if they can keep the quality up once these start going into mass production. [Impress]