Yes yes, iPhone and iPod Touch games are improving at an astounding rate lately. While my original purchase was aimed at a PDA, it turns out I now carry around a freakin PSP in my pocket, and nobody seems to notice :-)
Below I have attached some youtube videos of games that I absolutely think are worth every penny (usually these games will cost you only 67 cents by the way). The Gameloft games are most often the prettiest of the bunch, come at a premium price of about 6 EUR and are most often than not a rip-off from other games, but I really do not care. If big title developers are not interested in the platform yet, that's their loss.
Also, not included exactly but will be coming SOON: GTA CT Wars (*faints*)
(Note this is an on rail shooter, but still awesome)
This right here Ravensword for Iphone Official Website is an RPG I'm looking forward to as well, they're still looking for a publisher at the time I'm writing this, so could be another month or two before we get to play this one.