Ever wanted to use your smartphone while it's still in your pocket? Forget shouting at it through a microphone; soon you'll be able to do it all by touch. Microsoft's latest innovation is called PocketTouch. A sensor on the back of the phone detects touch input — even multitouch input — through fabric, allowing you to access music, change settings and even send messages. You can't see a keyboard, so you'll have to learn gestures to perform functions; this gives me a very distinct old-school Palm Graffiti vibe.
The technology's still in its infancy, which is why it's so astonishingly large at this point, although as the video notes, there's a capability to perhaps implement this on existing smartphone front screens.