A controller that will turn the iPhone into a PSP-like gaming handheld is in development that could see Apple's mobile become a fully-fledged games device.
Currently in development and at the moment only compatible with jailbroken models, the iControlpad is a peripheral device that works like a case which connects to the dock connector on the iPhone (or the iPod touch).
The iPhone just slides and locks in, the buttons then work for handheld gaming, there are no modifications needed and you can remove it at any time.
"The iControlPad is already supported by some of the biggest iPhone devs (including ZodTTD - PSX, GBA emu etc.) and we are sending out units to several others" proclaims the team behind the design, which bodes well for the future.