The real appeal of smartphone gaming is the mass market audience and the low cost of game development. A 14 year old just put together a game in his spare time for the iOS and it already dethroned Angry Birds for top download. It is funny to think that game developers are always whining about how games are just as dynamic as films, yet when it comes to the rising costs of these cinematic games, they all cringe. That is why the shovelware keeps on coming for the Wii and it is why these developers want to jump ship for portable gaming. They want high profit margins and low expenses. I can't even imagine what the next generation will be like. $70 games may be on the horizon (at which point, I quit gaming, or stick with Nintendo at least, assuming they don't jump on the bandwagon for raising game prices).
