concerning the game video itself - looks interesting, reminds me of lair though - in other words, better wait until the game is actually released before passing judgement on it. However - there is one thing you are forgetting regarding said game - its not a transportation-friendly game. that is - any bumps would pretty much screw with the game, so i can't imagine seriously playing the game while on the train - which is where about half of my own portable gaming takes place. I call this out on this game specifically because flying games are more reliant on precision then say a motion based puzzle game.
also - you might want to look at this link, regarding a comparison between the itouch and the DS concerning games.
http://ds.ign.com/articles/971/971801p1.html
as for gaming on an iphone in general? i dont really approve. too few games can be awesome on the DS using only the touchscreen to believe its a viable platform (though i fully admit the few that do it well are great. i'd love to see an audio-surf-eske Elite Beat Agents (or osu!) running on an iphone, creating the beatmaps based on the songs and difficulty settings (for those that havent played audiosurf). I think a game like that could infact be the flagship title for the iphone.
um..stuff
