Apple announced their expected 3G version of the iPhone and showed some of the games in development for the iPhone.
SEGA are developing Super Monkey Ball which uses the motion sensor built into the iPhone to control the game, other games use the same function to control driving and RPG games.
You can watch the Keynote presentation here Fast forward to 22minutes to the start of the demos.
Look out for 'Band' great software for creating music on your iPhone.