Nintendo has confirmed that there will be a new system shown off at E3 this year—and it's very possible we'll get an official announcement before that—but we have next to no details about what to expect. Kotaku has spoken to some inside sources, and a few specifics about the hardware may have been leaked. The system is reported to have:

8GB of internal, flash-based storage

25GB optical discs

Support for high definition graphics

The controllers are said to include a touchscreen, giving games another way to share information with the players, as well as a supplemental control option. The controller will also support the standard buttons and pads we're used to, much like the Wiimote, which acts as a physical controller when turned on its side. "A third option we've been hearing from several sources involves the new console streaming the same game that can be output onto a TV onto the controller screen, allowing high-end games to be played portably while within an unspecified range of the console," Kotaku reported.

All this is based on what are most likely sources within the developer community, and remember that final specs could change before the hardware is finalized. 8GB of storage seems low by modern standards, and that amount all but rules out full game downloads. For older titles and smaller digital releases it may be enough, however, and will likely be supplemented by user-provided memory cards. The 25GB discs are much larger than standard DVDs, and would be a boon for developers and publishers tired of releasing games across multiple discs.