Tim,
I like your thinking- and you're right. My counter argument is that most of us use very little of our devices' potential anyways. We've reached the point where most of us simply don't need a huge PC. Statistically we use email and web browsing the most, and these take very little processing power. For example, the Photoshop touch up work on the image above was done on an Intel Core-M processor. Intel's mobile processors run Adobe software fantastically well. I really hate to say it but the base model 2015 Macbook kick butt. What types of computing do you do mostly?
There will be no need to run a PC unless you're doing crazy graphics rendering or video (My 2015 Core M processor doesn't handle Premier very well). I think the only thing holding mobile devices back are power restrictions and software. My PC on the other hand is only used for CAD and music. I remember seeing some cool posts about hooking ARA up to an HDMI. A desktop interface is a must. I think of it this way: The first software platform that lets me run all my apps and photoshop from my pocket wins. Right now Windows is leading that front.... I'm just waiting for Chrome OS and Android to merge (at least in terms of UI). In the end, Android should support a development environment to build more Android apps, today this is very difficult.
I hope ARA can become as battery efficient as you say. Battery technology doesn't evolve as quickly as silicon does, and this will put constraints on ARA at first. It would be sick to have modules made from curved AMOLED panels. It's totally possible with parts from Samsung or LG. All of the things you mentioned (and more) are possible, but difficult to attain with current battery tech. If we remove most of the batteries, and add an external power supply (say a large solar panel or an RTG lol), the possibilities for ARA grow even further. Can you think of anything interesting applications for an ARA with unlimited power supply?
What really gets me thinking is what happens once the ARA supply chain has become well developed. If the $70 BOM greyphone cost is accurate in any sense, we'll see $20 used ARAs around the world in a matter of months. People will find them in dumpsters.
I've been playing with the economics of giving devices away, and depending on the business model, giving ARAs away can be lucrative.
As towards your module idea, look at a teardown of an iphone USB charger. That's about as small as it gets in terms of mass production. Do you think your module would be a bit bulky? Or is that extra heft worth it to you? I can make my own mobile device last days while using my tinfoil hat in airplane mode (I'm joking). I want to hear more on your thoughts about an ARA with an unlimited power supply...