It looks like all the screenshots of Treo prototypes running windows mobile were for real, Engadget has an array of shots of the Palm Treo 700w. Given how Treo sales have blown through the roof during the past year thanks to the PalmOS powered 650 and 600, you think they would want to reconsider introducing a windows powered product?
PalmOS is certainly not a huge selling point, it is certainly behind the times, but a lot of people like the simplicity of the interface. The whole windows mobile concept of essential using the standard winxp gui in a mobile phone makes me want to vomit.
I know PalmOS developers have be moving towards linux to power their new devices. The flashy lifedrive is a great example of a slick linux powered device. One can only hope, that there will also be a 700L offering in the near future.