That's exactly what they mean. Not only paper, but brainstorming on a whiteboard, or Smartboard or even in the air. The naysayers so far haven't really read the article. The ability to change tips for various purposes, the ability to share your written material in real time with numerous iPads at the same meeting on any surface, etc. Lots of possibilities.
WHITE BOARDS!!!!!
I am constantly taking pictures of the whiteboards after meetings to "save" my notes and thoughts and diagrams! This would be GREAT!