Isn't this just a Peer-To-Peer network?
Whilst it'd be good for some people, I'm happy with how it is. My Aiport Expres connected stereo, and HTPC that's pretending to be an Apple TV, are both connected via gigabit ethernet. My iPhone/iPad then just connects via WiFi to the strongest access point, and a couple of switches later the packets arrive at the AirPlay device. Far more reliable than peer-to-peer would be!
Kinda what I was thinking, just adhoc wifi, not particularly innovative. Not really sure what extra would be required, DHCP server on idevice? Surely that's not rocket science?
Although if it can do it whilst still being connected to infrastructure wireless, that would be clever.