I have read discussions about iCade and the unique way it handles the triggers for "key down" and "key up" states. My understanding is that it sends two separate key presses for buttons and (and joystick switches) for when a button/switch is pressed and released. Is that what we are talking about with the differences between the controllers? In other words, a held button (or joystick direction) would generate a continuous stream in iControlPad mode?
The reason I ask, is I am wondering if it's possible to make this work in either mode using any bluetooth keyboard which you hack to remove the keys and use controls instead--similar to how some folks build a typical MAME cabinet. The implications would be that you could go beyond the iCade single-player limitations and build a control panel for 2 or even 4 players for example, or even a basic 2 player setup with sticks and buttons for something like Street Fighter. The thought is that you would have to hack a BT keyboard, tap into the switchpads under the keys and wire in your own control panel that way--steps that are well-documented in the build-your-own-arcade circles.
This brings up another possibility that's worth asking about: the use of USB keyboards via the Camera Adapter. I think it's been demonstrated that if you plug the camera adapter into the bottom of your iPad2 (iPad/iPhone etc?) you now have a direct connection to USB on the device. You can then plug in your camera to transfer photos (using the adapter as designed) or for purposes here, plug in a USB keyboard. If that works, keyboard hacks could follow, or at that point, just plug in your Ultimarc iPac4 and a fancy DIY arcade control panel!
Finally, and this is really taking us into the realm of HOPE is that if USB connectivity works, what about a USB spinner? Or trackball?