I don't know what they've been smoking but they appear to be asserting that the 2DS uses one big screen split into two parts with a touchscreen covering the whole thing, but the top half of the screen is covered to stop the touch from working up there.
Why are the the screens different sizes then? Surely no points in covering a part of screen that you have basically paid for. It also doesn't make business sense as I assume touchscreens cost more that normal screens and then to not even use half of it.