It seems like this new format is toy driven by people who want their camera to look and be the size of an i-pod or an i-phone
I can sympathise with the notion that a product format can become too small, one only has to look at mobile phones to see this. But be careful; there are many who would regard your E system cams as toys (I mean, the sensor size wouldn’t exactly impress a medium format using commercial photographer, now would it? ;-) )
I am not disputing the fact that from a sales point of view , it is wiser to address that market segment first. but there is obviously a big market for Mlenses owners who :
want a black hand holdable body which looks like a tool and not a toy
Again, I repeat my earlier remarks that it seems to me that mFT is trying to get away from the old-school notion of what is and isn’t a serious tool. And the “looks like a tool and not a toy” mentality is a very male thing; far too many men need some macho looking tool to prop up their ego.
want to have AF lenses in the 24 -85mm range and HAVE the option to use in real life their M lenses and get some focus coformation
Well, it may not be entirely to your tastes but one of the rumoured forthcoming Leica lenses is a 36-100mm (equiv) lens. I don’t get your having a go at Oly and Panny re M lenses as there quite a few M lens adaptors. Focus confirmation, hmm that would be nice.
don't need a flash in their camera but prefer to keep the hotshoe for optional OVF and have the built in EVF on the left side like in a rangefinder
Well, what’s stopping someone from using an OVF on the G1/GH1 if that OVF has the necessary parallax adjustments?
pay a little more for some weather seal and don't care for video
I pretty much argued from Day One, that it would be real cool if there was a G1/GH1 type pro-spec body with weather sealing, dual memory cards slots, wireless flash etc etc etc. So I agree with you there. But I don’t agree with you in the sense of criticizing Oly or Panny because the day is still young as far as mFT is concerned.
Well, your “don’t care for video” is again revealing your “stuck in the mud” mindset. If you don’t want the video, simply don’t press the video button. ;-) The fact is, video and stills convergence is the way things are going, and already many photo-journalists are being asked by agencies to provide multimedia submissions.
I don’t care for video AT THE MOMENT simply because at present I am a sh!t photographer and have enough probs trying to learn photography without adding video to the mix

but if ever I get to grips with stills I WILL HAVE TO learn video if I want to continue being an image maker (unless of course I don’t intend to make any money from image making)
want a camera to be small but not to the point where the camera does not fit regular hands or can only be ergonomic with tiny lenses
I doubt the mFT cams can be made much bigger as the whole (well, a very significant part of the) raison d’etre of mFT is ……….. small.
a Ep1 size witha bigger grip for better hand holdability ( and a bigger battery and two cards ) is the direction to go
Well, that camera currently would be called either the G1 or GH1 ;-) For the future yes, twin card slots would be great. The battery capacity can be increased by way of a battery grip or increasing the capacity of the current size of battery.
if Oly and Pana are not interested , they could at least invite someone in.
the crazy thing is that they don't , someone will do it in the APS-C format ( canon I suspect)
Someone may correct me if I am wrong, but I don’t think Oly and Panny have excluded anyone. As far as I am aware mFT is a standard open to anyone to join. And I think you have overly optimistic hopes as to what Canon may do, after all they have their precious EOS cams to protect so they may not be too keen to introduce something that undermines the existence of their current high end EOS cams.
Regards