As much as we praise modern touch screens and the user model they enable today, we also know that their applications areas are very limited and only work in scenarios in which their latency does not matter much.
Researchers at Microsoft claim to have developed a touch screen display that improves touch screen latency by a factor of 100, which could open the door to new opportunities, such as capable touch screen keyboards.
According to Microsoft's Paul Dietz, current touchscreen displays have an input latency of about 100 ms, which is responsible for the noticeable delay between the input happens and when it is shown. In a video demonstration, Dietz showed a 10 ms latency screen that changed the delay of a movable virtual object on the screen to a rubber band impression. A 1 ms delay version came close to what we would perceive to be as almost no delay. Microsoft has such a display working in its labs, but Dietz stated that it was only a research object and a device which Microsoft would like to see becoming available over the next decade, so don't get too excited just yet. When it is available, applications may be able to add a dimension of practicality when actual hand drawing on the screen may be as realistic as it is when we are drawing on a piece of paper.
Personally, I would hope that such a technology could pave the way to touchscreen keyboards that are serious replacements for today's physical keyboards. Imagine tablets that have fully functional keyboards that you can use for fast typing and ultrabooks that do not require physical keys anymore.