http://forums.n-sider.com/showthread.php?t=2822&page=45

Stolen from: Jesse Venbrux@n-sider, (its new to me anyway)

Notice the cube shaped thing that's part of the nunchaku and that sticks into the controller? (Sorry for my english). I think the cable can be rolled up or out into that thing. I noticed this from the beginning of the unveiling, because on pictures the cable was quite short and in the movie it was rather long.

A perfect solution isn't it? You can decide for yourself how long you want the cable to be!

That cube shaped thing isn't necessary for anything else. I'm quite sure I'm on the right track with this observation of mine.

EDIT: For example, in a sword slashing game, you will need a long cable (as seen in the official movie) and for a First Person Shooter you only need a short cable like on the picture above.

A Squaresoft executive was quoted as saying something to the effect of the Revolution was not only a console, not only a portable.myxylplyx