PC on USB Stick

A Norwegian company FXI technologies has produced a USB stick-sized PC prototype.  The prototype has a dual-core 1.2-GHz CPU (same as in the Galaxy S II), 802.11n Wi-Fi, Bluetooth, HDMI-out and a microSD card slot. It's called "Cotton Candy" because its weight is the same as a bag of Fairy Floss, the tiny PC enables it to turn any TV, laptop, phone, tablet, or set-top box into a dumb terminal for its Android operating system.

The Cotton Candy has a USB 2.0 connector on one end and an HDMI jack on the other. When connected to an HDTV, it uses the HDMI port for video, the USB for power, and Bluetooth to connect to a keyboard, mouse, or tablet for controlling the operating system. The device can output up to 1080p so even a full HD screen can display the Candy’s preloaded Android 2.3 operating system at its native resolution. The dual core CPU is powerful enough to play local 1080p video or stream HD clips from the Web.

When connected to a windows or Mac system it's recognised as a USB drive. You can then launch the software and run the Cotton Candy’s Android environment in a secure window while you use your desktop OS outside the window. You can even transfer files between your notebook’s native OS and the Cotton Candy’s Android environment by dragging them off or on the USB stick’s memory.

Sounds great.  More info here.