This item from iLounge reinforced this impression:
Speaking in a brief interview as part of a larger article on the iPhone and iPod touch’s role in the industry, Apple CEO Steve Jobs said that the devices may become viable options in the mobile gaming market. “I think the iPhone and iPod touch may emerge as really viable devices in the mobile games market this holiday season,” Said Jobs, noting that around a quarter of the 200 million App Store downloads thus far have been games. “Games sold via the App Store are the most profitable in terms of any of the formats we work on,” added Simon Jeffery, the U.S. president of Sega. Interestingly, Nintendo indicated that it already saw Apple as a competitor prior to its move into the mobile gaming space. “Whether you chose to play on your DS or listen to music on your iPod, we’re already in the same competitive space for time,” said Reggie Fils-Aime, president of Nintendo’s U.S. division. Meanwhile, John Carmack, founder of Id Software, said that although he doesn’t see the iPhone and iPod touch as direct competitors to Sony and Nintendo’s handhelds, Id is developing at least two iPhone games. “I don’t expect them to displace DSs and PSPs,” he said. “I think they will be a fairly robust market all by themselves.”
http://www.ilounge.com/index.php/news/comments/jobs-iphone-platform-may-become-viable-in-mobile-games-market/15649
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