The iPhone 4 finally brought high definition display on par with the excitement generated from the release of the Sony PSP. However, it is still stuck inside a 3.5" display screen. A good display requires two things... high density pixels, and large display. Because the iPhone 4 requires that you put both thumbs on the screen for most applications and games, you are already covering up 25% of the pixels/screen space. This is unacceptable, and takes away from the excitement and usability of many games and applications.
The goal towards 1920x1080 display is a possibility with the "retina display" now though. Because of the 326 ppi display in side 3.5" at 960x640, you can now extend that to 1920x1280 at 7". The iPhone 5, or Ipad Mini (7 inch screen), or the PSP2 should have at minimum 1920x1080 on its main display. This would be the ultimate mobile device. Add in the accelerometers and touch screen, and the standard 3G and WiFi capabilities, and we should approach what most techies would consider a holy grail of must own item. 3D displays introduced by Nintendo's 3DS may also up the ante in the mobile device wars, but the refresh must be quick enough to handle two 1920x1080 screens at 60 frames a second. (so at least 120hz).
