The graphics are pretty good, but who's going to buy the games, especially with only touch screen controls like others have said.

Kotaku just picked up the story from their sister blog (both Kotaku and Gizmodo are on Gawker media networks), and added this input:

"Super Monkey Ball and caveman karts are all well and good, but this looks like exactly the type of game I'm looking for on my overly expensive Apple product."

I wholeheartedly agree (even if it isn't QUITE as expensive anymore)... and with the SDK apparently being such an easy dev tool, I wouldn't be surprised if we saw a lot more games like this before '09 is over. Considering the games will be sold over Itunes as well, i wouldnt be surprised if Steve Jobs already HUGE pile of money doubles in girth in the next couple of years.

I predict that the iPhone will be amazingly popular for gaming with people who already use their cellphone to play games ... Games I think would be a good fit for the iPhone would be Meteos, Lumines, Tetris, Solitare, and Bejewled.

Games which are overly complicated will (probably) be better suited to a portable gaming machine or game console being that they will be bought (primarily) for their games.

@supermario128

Aimed at an installed marketplace of 6million tech savvy nerds and early adopters, I don't think it should have too much trouble selling.

 Also, don't forget about the acceleramator (sp?).  Pangea software has made a game that controls with tilt just like MK does. 

heres a question, if this werent made by apple would anyone buy it? the answer is no.

um. idk my bff gil.

This thing is odd, honestly I don't care what they add to cell phones I just am not interested, I don't dislike them, but I am not interested in that tech.

As for the world, it all depends on the software - but I doubt anyone would buy this product because it can play games, it's going to be because of the culminative value - but it has so many things to it the price will just be insane.

Even pictures/photos looks good on Iphone. Even youtube videos. Everything seems to look good on an Iphone.

Impressive graphics.

Wrong platform...

couldn't have said it better myself to be honest.

I don't think the iPhone will ever be a huge gaming platform (not nearly as big as the PSP and DS). It's clear, though, that the iPhone will go far beyond the crap offered by current cell phone games.