I agree. They need to have an online network, but I think that this leaderboard thing is pointing to that. I"m guessing they're hedging their bets...waiting to see just how popular gaming will be on the iPhone before they dump millions into it.
As as far as "leapfrogging" Sony, that's step 2 not step 1...MS is the #3 player in the game, Sony is #2, Nintendo is #1. MS has no portable gaming device as all, Sony has 32M PSPs, and the PS3 has outsold the 360 for over a year now, and by this time next year will have sold more total units than the 360 as well despite the 1-year market difference.
Nintendo, with their 68M DS units and 22M Wiis on the market...they're the mark to shoot for. Also, the iPhone with it's touchscreen and accelerometer is far more like Nintendo's devices than it is like the HD game consoles or the PSP.