I have seen them working. In the day, I worked for a store which sold
them, so I saw quite a few working ones. We also added touch screens
(with s stylus) to quite a few of them.
I remember discovering that the index detector on the floppy drives was
not connected, like on an apple 2. The formating was completly soft
sectored, which did not rely on a index pulse from the disk.
I got in an argument with a Victor rep once about this. He was telling a
story about an "idiot" customer, who was using 10 sectored hard sectored
floppies (ala Northstar), and he told the customer that this was the
problem. After some discussion with him, I opened a unit up, unplugged
the wires from the index photosensor, and the unit still worked. He still
didn't want to believe me.
It also seems like the floppy used different speeds (rpm) on different
tracks, running slower on the inside tracks and faster on the outside
tracks to keep the same bit density at all places on the disk. There were
more sectors on the outside tracks than the inside tracks. This would
seem to preclude using a standard floppy drive.