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I’ve been wondering why Apple couldn’t do a tablet that ran both MacOS and iOS, merely switching between the two environments. Running MacOS would disable all touch features. Two OS sharing the same hardware and processor and display, with a keyboard folio. That to me would be optimal as it would limit he size and weight of the device, while also reducing the cost of my investment, while keeping the best features of both devices without compromise. This is obviously not optimal for Apple, but would be ideal for most Apple customers I’d expect.
It would be jarring to switch between two distinct operating systems and running both simultaneously would be its own issue. Throw on top that MacOS runs on x86 and iOS on ARM architecture and you would need to port MacOS or run it in a virtual machine.
To me the way to go would be to relax the imposed limitations on what iOS can run (e.g. not allowing web rendering engines other than WebKit, not allowing to run say NodeJS in a terminal, not having a proper sandboxed file system to work with) and allow for better peripheral support for controlling the UI so it's not touch-only for everything but typing. Split screen multitasking support should be a mandatory supported feature of all apps so you don't have to try and be disappointed when an app doesn't work with it.
It's easier to make a touch-based UI work with a mouse than it's to make a mouse-based UI work with touch. Adding support for the Apple trackpad would give you the benefits of a mouse while keeping things like swipe gestures and multitouch.
There is no reason why iOS can't work as a full fledged desktop system, it just lacks the software and external hardware support to do so.