I think that the next-generation dynamic tangible user interfaces (programmed computer expressions which are shown in a changing-by-the-second physical form) can make use of the toys of yesteryear, such as these:

Imagine trying to send needle imprint data from one side of the continent to a needle bed at the other side, which will then interpret the data in a form that will result in the above pictures.

That’s my idea of a tangible user interface, where physical impressions can be transmitted over a network to a separate tangible medium which then duplicates the physical impressions, and vice versa.