All Canon would need to do is drop the 15MP sensor from the old 50D/500D series in and they would already be ahead of the current m4/3 cameras for resolution and noise control.
For all their bluster it's hard to imagine that the likes of Canon and Nikon will ignore the mirrorless market forever. In the case of Canon I believe the rumour-mongers had tagged it EIS (Electro-Imaging System) as opposed to EOS (Elector-Optical System). The name didn't make a lot of sense, however. It's the 22MP bit of this rumour that seems a bit odd to me. Mirrorless cameras seem better positioned as entry to mid-level cameras, and there is barely justification for high-end cameras to be outputting 22MP, let alone lower-spec models.
Canon would have a great secondary camera if they squeezed their APS-C into a G12 type body (size, shape, and controls), released it with a purpose-built compact wide prime, and created an adapter that allowed users to mount existing Canon lenses with autofocus enabled. I still prefer my G12 to my GF1 (and the E-P2 that I had briefly) for form an control.
Canikon have kind of put themselves on a sticky wicket. Mirror less HAS to be more profitable - less cost, same price. The market has shown to be reasonably strong. The mirror legacy has to be weighing around their neck like a boat anchor