Epic mod, almost makes buying an iPad sensible just for this setup, to have a simple setup like this.
http://www.youtube.com/watch?v=C78BGY5cd3s
http://www.youtube.com/watch?v=C78BGY5cd3s
Note to self: Must get hands on old Macintosh to try this.
Except how do you get back to the home screen? lol
I got an idea, if in xCode you say your device is for developer use, which you don't even need a dev acount to do, you can enable to ability to multitask with a 3 finger swipe and go back to the home screen with a 4 finger pinch.
Edit: 4 finger swipe and 5 finger pinch.
4 finger swipe and 4 finger pinch...
5 finger pinch explicitly does not work
It is physically impossible to pinch with 4 fingers