Freeman claims that about 4 million, or 10 percent of the 40 million iPhone and iPod Touch owners to date, have installed Cydia. On a recent day, he said 470,000 people were connecting to the Cydia store, up from 350,000 per day just a few months ago. Among many free apps, there are also 15 paid apps in Cydia, and the store has earned $220,000 in overall sales in just five months.

“People are so annoyed by Apple and their shit, and if you give them opportunity to go around it, then they’ll even pay for it,” said Kim Streich, a developer whose app 3G Unrestrictor earned $19,000 in sales in just two weeks through Cydia.

http://www.wired.com/gadgetlab/2009/08/cydia-app-store/

It seems you were right and wrong. It is 10%, but it is definetely not 10 jailbroken devices. Probably around 6 or 7 million, since the 40 million mentioned in the article was all the way back in august. probably up to 50-60 million now.

i u don't get 2 year contract u dont' get the 199$ price.

u pay over 600$ for unlocked free sim.

  If they get the DS and a bunch of games, but the thing is, most people don't buy that many games, which proves my point, people usually buy less than 10, because the DS games are much more meaty they can satisfy for years, so in fact getting the DS and games would be a lot cheaper than getting the iphone.

They enjoy them, but they don't replace the DS games, when the DS is around, the iphone games are quickly forgotten, even the simpler DS games are far better and more interesting to these consumers than any of the iphone games.

Even the ipod touch, reduces the barrier, but its still more expensive than the DS, and the games don't compare.

In order to incorporate better, they have to be better, if you hand a person a DS with nintendogs, they'll play it over the iphone any day, the iphone is just the system to play when the other ones aren't around .

Also you forget the key factor in this issue, the kids, the DS has the inside track into the minds of consumers due to kids, people will buy them for kids and then when they see the kids playing them, and when they see games like nintendogs, they'll get it for themselves, they may keep the iphone for when they can't carry a DS, but that's all the iphone ipod touch is going to be, it'll supplement the DS for people, but it won't replace.

In fact look at the DS, its five years old, and still selling like gangbusters (a little down the past couple of weeks with people waiting on the new DSi), for all the hoopla over the iPhone as a gaming platform, it doesn't seem to be a threat to the DS.

The games don't compare for you.  They are fun and interesting to people not interested in games in the slightest.  That is a move in the right direction.  And the fact that they are already talking about the profit they have made from these(with no 1st party development to boot) makes me assume that there is an underserved market for what i would call shitty and shovel ware games that lies even further beneath Nintendo's Wii Sports, Wii fit, Wii play Nintendogs etc. 

These users aren't looking for games and don't have traditional expectations. The DS wont be around nor will it be an option for people not interested in games as it is a games machine.  However the machine that has garnered a crowd for it's other purposes such as social network, music, movies, photos etc might be able to get  a lot of people hooked on these cheap games that you would call sub-par because they offer them in as easy a manner as the afformentioned services.

Do parents not buy their kids PMP wher you are from?  

^They don't compare period, not just for me, for anyone, they are decent diversions for when the other systems aren't around, but they aren't going to be the mainstay gaming choices.

Actually it will be around, the DS is much more ubiquitous than the iphone or the ipod touch, by a large amount, most people have exposure to the DS, and even those who don't have interest gaming are drawn in by games like Nintendogs

Most kids don't walk around with ipod touches or Iphones, they may have some of the cheaper nanos and classics, but not the touches and iphones, because of the price and the ability to surf the net, most parents will be hesitant to give their kids something they could abuse, or lose, break, or come into contact with things that parents don't want their kids to see.

Also you haven't addressed the point, if apple is such a threat to the DS, why is the DS still selling so well?

This bears re-emphasis. There are more DSes (let alone DSes combined with PSPs) out there than iPhones. Right?

^far more I think Iphones and ipod touches are about 60 million, DS and PSP combined are closer to 166 million

First, the iTouch does not cost the same as the DS or PSP. It is quite a bit more expensive.

Second, the iPhone will always be seen as a phone first and foremost. That gives it a bit of a problem. People like single use devices because they do their function so much better than multipurpose devices. The question is if the games on the iPhone have become good enough for most people. I have my doubts. I also doubt that there is software with the type of draw that Nintendogs, Brain Training, NSMW, and MK DS have. Without extremely popular software, the iPhone just isn't going to have a large, dedicated gaming audience.

Third, the dedicated portable gaming devices I have had experience with have all been very well built. This is especially true for Nintendo. They take abuse from kids and just keep on working for years and years and years. I don't have much experience with the iPhone or iTouch, but cell phones in general are not as well built. I've seen data that says that cell phones are replaced every 1.5 to 2.5 years, depending on the age of the user. The younger they are, the shorter they last. On top of that, cell phones seem to undergo big swings in popularity every few years. Gaming devices stick around for years on the market.

I think both business strategies have a place in the market. I'm sure we will continue to see growth in cell phone games. However, I just don't see cell phone games taking a big chunk out of the more traditional game market anytime soon.

They compare because they are both games fighting for your entertainment. Non gamers aren't looking for a mainstay console. The item that they have purchased for other reasons or is lying around will do. That quick diversion is all they seek and it satisfies them.

Non gamers are drawn in by the utility of the i line. when they want something outside the utility it was purchased for they have other options immediately available on the machine. That's how they are bringing in new gamers.

And when parents upgrade the kids will have the touches and phones and it's already happening earlier and earlier. by the time the 1 year old i live with is 3 or 4 he will have a nice hand me down phone. Probably a g2 or iphone because they adults will have upgraded.

So if the Wii is such a threat to the HD systems values then why are they still selling so well? Shouldn't the competition be completely destroyed because it's being disrupted? Same could be said of the PSP and DS. Why is the PSP selling the DS is clearly where all the mainstay games go?

Because apple sees money in this under served market. So much so that they have started to hire AAA developers and predict billions of dollars in profit from it in the next 4 years makes me think that cell phone games can and will take a big chunk out of the regular game market.