The iphone is fantastic for web browsing but really who would use it for anything but adhoc on the spot time killing surfing, and who would write a novel on it? Nobody. However the iPhone proves you can run MAC-OSX on super energy efficient hardware. So my prediction is that we'll see a small notebook that's based on the same stripped down OSX, maybe running on the same ARM architecture and because of the interior volume available in something like a sub notebook, battery life of 24 hours, maybe even 48 hours of non stop use? That would be revolutionary for proper portable computing.