Japanese news source Nikkei has confirmed at least one of the many Project Cafe/Wii 2 rumors. They say that the controller will feature a six-inch touchscreen at its center, allowing for tablet-like controls of games. As rumored, there will also be buttons to be used alongside this touchscreen. A camera will also let you snap pictures of your face, much like you can on the Nintendo 3DS.
It has also been confirmed that the controller can be used as a stand-alone game device, as it's equipped with a battery that will support play on-the-go.
Finally, Nikkei says that this new console could launch as early as the middle of 2012.