This video is well worth watching for a number of reasons: It’s beautifully shot, it’s fascinating and it illustrates the potential of a well designed tablet.

Sweden’s Bonnier and London-based studio BERG have launched a video prototype of a digital magazine touch tablet call the Mag+. I have no idea what Apples  iTablet is going to look like but I imagine it won’t be that different from what appears in this video.

In the short term many companies will jump into this market but I would guess the shakeout will be quick and dramatic. A few devices will resolve around magazine / reading application, like this device, and a few of others will win the video and rich media / entertainment application space.

Best guesses – Apple will have the coolest rich media device, Sony and Samsung will compete, Google will back / promote the open source gTablet and Conde Nast and Amazon will probably own the magazine and reader tablet spaces.

Any takers?