Having read the comments on the Iyonix mail list - it appears as if a "kite" was being floated alright and that the putative Iyonix II would have a dual core processor. Seems like the issue was would there be a sufficient number of people willing to commit to taking the machine.
So Andrew may well have a point. Hey trying can't harm can it?
Besides RISC OS having being around so long it would be a pity to see it go now wouldn't it - especially if there were some option (no matter how remote) of saving it.