Mac Touch Concept Rendering

MacRumors is reporting on a Digitimes story that says Taiwan-based supplier:

Wintek revealed that it is currently working with Apple to develop some new products, but it said it does not know what applications the new products are for.

Apple has denied interest in producing both a tablet and a netbook in the past, which is what they do both when they really have no interest, and also when they're about the release something. What with all the new hardware Apple dropped last week, TiPb has speculated that the March 24th date for a rumored Apple Event could be used to debut the iPhone OS 3.0 beta, a higher resolution iPhone HD... or an iTablet form factor.

If Apple does release a new device, would it really be a netbook scale version of Mac OS X or a large-size iPod touch running the iPhone version of OS X? Either way, developers would need time to ramp up (or down) their apps. Either way, could this be more fuel for that fire, or simply more grist for the rumor-mill?