Seeing as Sigma DP2, Olympus Pen, Panasonic GF1/GH1, Leica X1, and Samsung NX are making waves. I suspect that Canon is working on a digicam with a APS-C sized sensor for enthusiasts that want a small compact camera with dslr level image quality.
Here are my suggestions and wish list.
Body:
Metal and like G10 series in size (a bit bigger due to sensor/lens) and ergonomics. I really like that rotating ring at the base of the lens mount like in the upcoming s90, and would like to see it here as well. I suspect that the body will be solid black as is the current G series. But a red ring by the mount would be nice and along the lines of a Canon L lens in terms of look. Of course it should have a little flash built into the body.
Sensor:
12MP CMOS sensor with 1.6x crop factor like the Rebel XSi. I'd like to avoid 15/18MP for less noise if possible. But if Canon wants to trump others with a class leading higher MP of 15, so be it.
Lens:
I thought long and hard about this. I don't think EF-EF-s mount would be good as it may make the camera/lens unit too big. I actually like the idea of going with a fixed zoom like what's on the G10/11 series. Of course b/c the sensor is bigger, the lens will be bigger but I think if they design a lens specifically for the body, they can work on a small one as found on the Leica X1. I'd guess for a 35mm f2.8 or maybe a bigger but more versatile 24-60mm f2.8-4. In lens IS would be nice as well.
Viewfinder: The optical one in the G series is nice or an EVF version of it would do. I personally would favor an optical based system. Why not an accessory based one to go over the hot shoe? That's an option but would work only with a prime IIRC. Plus it's more money. The built in viewfinder would trump the others in terms of feature (not including the Panny GH1 and Samsung NX).
LCD:
To keep the body as thin and light as possible, I'd like to see a 2.7-3 inch non moving LCD with 930,000 dots. The 3 inch 930K dot seems to be the standard, so that should work.
AF:
Live view contrast based of course.
Buffer: I suspect b/c of AF being slower and the body being smaller, that the fps and buffer may be less. I think 3 fps for 6 shots RAW would be more than plenty for this type of camera.
Price:
Since Canon is coming into the game late, I think they would have to trump others in terms of price. Just like the Canon s90 trumps the similar Panasonic LX3 ($429 vs $499), I'd venture to guess right around the Olympus Pen's price range of $799. If they offer more features and the market is hot, then $799 would be a good starting point. If the market is saturated (especially if Nikon joins in) then I suspect the price may be even lower as the market matures and the competition increases. Maybe $749 to $699.
Just all guesses and dreaming of course.
Thoughts?