iPhone = portalbe gaming device?
Speaking of games, what do you guys thing the real gaming potential of the iPhone is? I've been chatting on a lot of gaming sites, and for a long time many people think that an

portable gaming device w/iPod would sell like crazy. Some have also suggested that the current iPhone's processing ability isn't that far off from the Nintendo DS or the Sony PSP.
In theory, could the iPhone / iPod Touch be used to play games on the level of the current 2 portable gaming platforms?
It would behoove

to really push this, since that HUGE market is currently ruled by only 2 companies. And if they can make a portable gaming device without having to manufacture something specific--i.e. use the current iPhone/iPod Touch--then they could make a killing not only in added market share from gamers but also in software sales.
This would also be big for devs because they would get a 70% premium off their games--probably more than they get with current platforms after manufacturing of physical media and retail costs, etc. SEGA and EA are already on board--these are 2 of the big players.
How likely would we be to get "ports" of current games to the iPhone?
Basically, I've held off on getting an iPhone myself because I'd rather have a yet-to-exist PSPhone. But if the iPhone really has as much gaming potential as people are suggesting...well, not only will I get one, but it will change the gaming industry. And industry which--by the way--is worth more than the music industry or the film industry.