QUOTE (InorganicMatter @ May 15 2008, 02:52 PM)

Yeah, 1080p on a 4" screen. Good luck differentiating the detail level there. The iPhone's DPI is already significantly higher than any computer monitor or television on the market, it's not like you can see more detail past a certain level.
QUOTE
So why would you want 1080p on your mobile phone or personal media player, anyway? The point obviously isn't to run that on your handheld's screen; assuming a high enough bitrate, there's simply no way you'd see the difference on a VGA 4.5 inches screen between 720p and 1080p (however, we'd argue the difference between VGA/D1 and 720p should be fairly obvious; that's also why many QVGA handhelds with much smaller screens, including the original iPod with Video, could play VGA H.264).
No, the point is obviously to use your handheld as your media center (via HDMI) and eventually buy all your HD movies on iTunes. Clearly most people's internet connection may seem to be too slow for high-bitrate 1080p videos; however, 3.5G and 4G mobile networks will likely fix that problem in the 2009-2011 timeframe. Streaming it via WiFi is also possible, and you might even be able to connect your handheld to an external USB HDD.
So screen size would be a non-issue. And if you'd use it as a streamer/media center, then you'd use Wi-Fi I reckon

sarahbau is right, good job reading the article everyone >_>