There is no "bubble" that's been burst (goodness, I really am shocked at the kiddy attitidue on these forums, it's like being in a playground sometimes)... the whole main point of my post was processor speed, which was fully accurate. As for GPU speed...
Current Mobile GPUs: Triangles/sec, Fill Rate
*PowerVR MBX-Lite (iPhone 3G): 1 M triangles/s, 100 M pixels/s
*Samsung S3C6410 (Omnia II): 4 M triangles/s, 125.6 M pixels/s
*PowerVR SGX 520 (Palm Pre): 14 M triangles/s, ___ M pixels/s
*ATI Imageon Z430 (Toshiba TG01): 22 M triangles/s, 133 M pixels/s
*PowerVR SGX 535 (iPhone 3GS): 28 M triangles/s, 400 M pixels/s
Future Mobile GPUs:
*PowerVR SGX 540 (TI OMAP4): 35 M triangles/s, 1000 M pixels/s
*Nvidia Tegra APX2500 (Zune HD): 40 M triangles/s, 600 M pixels/s
*ATI Imageon _ (Qualcomm QSD8672): 80 M triangles/s, >500 M pixels/s
The PowerVR 535 processor in the 3GS is better than the Snapdragons 22 million triangles per second.
So...