The careful wording of "portable game controller" leads me to believe that, while not a full-fledged handheld gaming console, the touchscreen controller can be used to play Project Cafe games without the need for the TV to be on. Sounds pretty neat! Though, it would just be as neat, though perplexing, if the controller is also a portable console.
A camera sounds really superfluous, but I guess they have spare parts from DSi, DSi XL, and 3DS lying around.
A six inch screen is really big, assuming it is a 16:9. That's 1.7 inches bigger than a Playstation Portable. Hmm, I hope Nintendo has found ways to keep costs down. I already find the $55 and $50 MSRP of the Dualshock 3 and 360 controllers to be a bit much. With all the rumored tech the controller has, I'm guessing a $60 price tag might be hoping for too much.