The idea is that the iPhone will be placed into the laptop where a trackpad would usually be used. You could then use it as a mouse and integrated part of the computer, using the iPhone as the monitor and power device. There would not be any external ports but you could connect to the internet through the phone.
While this idea could provoke some scepticism there is a precedent from the Motorola Atrix which gives us an idea that it could work, although the Apple version is said to be a lot more comprehensive. One theory is that this addition to the iPhone is the reason why the back of the phone has been modified in the latest version, although most sources state that the compatibility will only start with the iPhone 5 and not the iPhone 4.
There are lots of different ideas about how this machine could work and what it would look like but the biggest stumbling block seems to the overlap which the iPad and the iPhone would have it this rumour were to be true.
How does this idea sound to you? Would you prefer to use an iPad or does the idea of an iPhone with a docking station sound good to you? Is this all an April fools that has rolled over to a new week?