I bought a Live Scribe Smart Pen and...
 

...it looks cool on my desk. But that's becuase the software will not download from the site, seems a couple others are having an issue as well. Uggg... I just want to play with it!

Looks pretty cool. But won't you always need that special paper?

Yes... The live scribe pads are the size of a full size notebook pad thing, looks like normal people other than the menu at the bottom. You get 5 for $20 at Target.

I fill up notepads, so being able to have a written version like now, plus a captured image and audio versions of my notes will be handy.

It will help with showing designers my ideas and notes too. Draft something up, jot some notes, it sounds simple enough at least.

That is a very cool device, now if you could draw things on the pad that would push it over the top. i often find that as well as writing stuff down i might do a rough sketch of a design as well.