I love concept designs. They give a cool insight into what's posisble. This bike will most likely never be made, but apparently it could, and that's cool. Also, the fact that he thinks it would take 20 years to get the funding for this just shows what a bad businessman he is. Granted, no one is giving out money right now, but in a normal economy there is no reason why it should ever take 20 years to collect the money for something. It takes a lot more moeny to develop a car or motorcycle or building than it does to create a bicycle. Clearly this guy just doesn't know the right people to borrow from.

Oh yeah, I also don't like the electric motor aspect. LAME. this is a bicycle. If we wnated something that we could pedal but also had a motor, we would get a moped.

Also, as far as the wheels work, I'm guess it's something like this:

The tires are attached to a slim piece of material surrounding the circular rims that are part of the bike frame. In between that slim piece of material and the rims/frame is a buffer made of some type of bearings that allow for the slim piece of material and tire to rotate smoothly along the outside of the rim. As far as braking goes, Im guessing there is some type of friction device located inside the "tunnel" where the tires slide through the frame on each wheel.

Here's another possibility for how the wheels work:

The frame extends into the narrow circular part that you see on the outside of the rims. This is the outermost part of the rim and you can see that it's a slightly different color than the other part of the rims. So that thin part is stationary, connected to the frame of the bike. Then, the tire is connected to the inner part of the rims which spins freely, connected to the frame/outside of rim via a bearing system