Personally the home button on the iPods and iPhones are great, but I find on my iPad it is a little less practical (especially with these new gestures). But I would like to see what apple does with this.
This is pretty nice. I don't think the home button needs to be as large as it is on the current iPhones. Don't think Apple will redesign it as drastically as this picture shows, however.
If they ever actually went through with it, it would be because they came up with an intuitive/marvelous solution to make it work. It seems absurd because nobody can really see how that would workand that's probably why this rumor should be taken with a grain of salt. I imagine they've tossed ideas around, though.
If they removed the home button from the iPhone, one can only imagine how many threads would pop up on here from people wondering how they "open" their phone?
Personally, I like it. If Apple had some krafty kool way to do away with it while still keeping the phone simple, I'd be all for it.