It appears to use shortcuts. I have used a similar device that promised C1 connectivity and it just wasn't that great. It was the Palette Gear.
It just didn't have the fluid feel I was accustom to (using a mouse). Also, there are controls that just don't have shortcuts.
I ended up selling it and getting the Tangent.
That being said, I'm hopeful that there will be some competition to Tangent as competition is always good.