The Graphical Shell Interface New Desk Accessory allows you to access the shell from a window inside a desktop application. Selecting “GSI” from the Apple menu opens a window and brings up a shell in it. You can use the shell in this window just as you would in text mode.
At this time, GSI doesn't support any terminal emulations — it's a “dumb” interface. As a result, full screen programs like less(1) and vi(1) will not work properly in GSI.