So Wired.com had an interview with Koizumi, the producer of the 3-D Mario, and Aonuma.
What Koizumi said is that this whole two screens, two different viewing points and two players at the same time were actually a cut out feature involving Majora's Mask and the Gameboy. Yes he is serious. And the reason why he says this is because we're gotten confirmation of a Mario wiiu being in it's alpha stages and Koizumi says that they're playing with the idea of two screens at the same time for this new Mario wiiu but not as of now. I hope we get a Mario wiiu demo at least at GDC or the next E3.
So the Zelda demo was in real time. Okay. So what Aonuma had to say is that, remember the Zelda tech demo we got for the gamecube and instead of that, we got Wind Waker? That's because Nintendo showed off that tech demo when Aonuma and his team was already hard at work with Wind Waker. Why does he mention this? Because he's saying that the newest tech demo we got may not necessarily be the next Zelda since the team is still working on Skyward Sword.
Aonuma also says the tech demo wasn't actually made by the Zelda tech demo, the only one from the team who had something to do with it was the art director from Twilight Princess, Satoru Takizawa. So basically, he's saying that the game might not be in that style and not to read too much into it. So I wouldn't hype it too much but I guess that's too late for the fanbase of Zelda.
Link here: http://www.wired.com/gamelife/2011/07/wii-u-mario-zelda/all/1