In a lot of ways the current environment surrounding the iPhone and other mobile computer platforms reminds me a lot of the internet in the late 1990s. Websites which were far less impressive than vgchartz were being promoted as being worth hundreds of millions of dollars in spite of having no coherent business model because the "internetz-moneyz" were eventually going to start coming in; and countless analysts were making ridiculous predictions about how rapidly it was going to grow and the impact that was going to have on our lives. It isn’t that they were predicting massive changes as much as the changes they were predicting.
When you combine all ios devices (iPod Touch, iPhone and iPad) with the Android devices, other smart-phones and tablets there are far more of these portable computer products than there are handheld systems today; and yet the games market is tiny in comparison, and couldn't support a fraction of the games for handheld systems at the budget of these games.
Certainly, the market is in its infancy today and will likely grow into being far more significant in the future; but this growth will likely occur in ways that are dependent on existing market conditions. This will likely trap them in a chicken and egg scenario where certain games cannot be developed until it is demonstrated that the platform can support them, and the platform cannot demonstrate that it supports these games until there is a significant number being developed.
