That's perfect. This guy's making a lot of sense... except for the iPorn, of course. I always thought the introduction of intel machines would be the introduction of new form factors, but he does have a point. What more can you do to scare customers away then change the entire appearance of your product simultaneously as you change its innards.
Form factor first... get people used to and loving the new design. Thennnn comes the major transition, which will occur for the most part unnoticed.
Jobs, you're brilliant.