Are you thinking of Mosh? http://mosh.mit.edu/
In a lot of scenarios, the latency is not much of an issue, but on wlan/3g, this very fast become very noticeable. In the few cases since, I've used ssh on wireless, I suddenly find myself noticing how much of an issue the sudden feedback delay might be at some times.
The only obvious downside to Mosh I've seen so far, is that a lot of enterprisy firewalls tend to block UDP traffic.