MWC 2011 keynote, so you'll just have to trust us when we say Eric Schmidt just demoed a new video editing application called Movie Studio for Honeycomb tablets. The app was built from the ground up for tablet devices, and it features everything you'd expect: a timeline-style editor, picture effects, soundtrack and audio support, and of course, HD support with uploads to YouTube. Unfortunately we don't know much else about it, but we'll be digging for more details, so stay tuned.
Update: We snuck a picture! You can see the timeline and the playback controls -- it looks really nice, don't you think?