Different people are getting different answers to this question because the basic assumptions can be interpreted in different ways.
Suppose we actually built a treadmill like that described in the OP and put a 747 on it. Would the 747 take off? If “exactly matching the speed of the wheels” means that the treadmill matches the hub speed of the wheels, then yes. The plane takes off, and the treadmill’s going twice the speed in the opposite direction.
OK, as Manduck say, that problem is trivial. Let’s assume that “exactly matching the speed of the wheels” means “matching the outer diameter surface velocity” Would the 747 take off? Almost certainly it would, but only because the treadmill wouldn’t be able to keep up with the thrust transmitted to the plane by the engines–in other words, we violate the spirit of the question, because the treadmill isn’t matching the wheel velocity.
OK, that’s stupid. It’s a thought experiment. Posit a magic treadmill that can accelerate as fast as desired. All right. Multiple things could happen. To begin with, the plane would stay stationary as the thrust power was dissipated in the wheel bearings (as friction), tires (hysteresis), and in accelerating the wheel to ever-increasing speeds. Since all the power is dissipated in the wheels, eventually either the bearings would overheat, the tires would blow, or the wheel would rip itself apart due to inertial forces, and the plane crashes and burns. Then you’ve destroyed a rather expensive magic treadmill.
Thought experiment, I said! Let’s posit ultra-strong and heat resistant tires. All right. Again, multiple things. If the treadmill is a long, runway-sized treadmill, it will eventually, running thousands of miles an hour, pull in air at high enough velocity that the plane will lift off at zero ground speed (but substantial air speed). However, now you’re running into trans-sonic compressibility effects…
No speed of sound effects! And assume magic air that doesn’t become entrained with the treadmill motion. In that case, the treadmill speeds up until it and the wheels are running near light speed, and relativistic effects takes over. The wheels get smaller, I suppose…
None of that! No relativity-- Hey, wait a minute. Back up. Suppose we have zero friction bearings and tires. And while we’re at it, make them massless, so there’s no inertial effects. Well, zero friction tires would mean they just skid on the runway, since nothing turns them. So the plane will take off, tires motionless, and the treadmill won’t move.
OK, then. There’s friction between the tires and treadmill, but not in the bearings or sidewall. No energy is lost in the wheels and tires, in other words. Now you’ve got an unstable runaway system. There’s no resistance to treadmill motion, and a positive feedback circuit. Imagine, now, the poor mechanic who bumps a wheel, setting it in motion. A very slight roll by the tire is sensed, and the treadmill luches forward. The tire goes faster, the treadmill goes faster, the tire goes faster… Since we’ve posited an instantly-accelerating treadmill and no relativity and no air resistance and no wheel inertia, the treadmill goes from zero to infinity in no time flat. Try to keep your balance on that. The same thing happens, of course, when the engines light off. There’s nothing coupling the plane to the treadmill–no bearing friction, no inertial effects, no air resistance, and no way for the treadmill . So the plane takes off, leaving the infinite-speed treadmill behind.
Did I miss anything?