Go get Sword of Fargoal and Rogue Touch on your iPhone.  That's oldschool done right in a modern world (especially when it comes to Fargoal. My new favourite).
 
Eagerly awaiting Dragon's Lair myself.

It appeals to you, probably because you aren't expecting a $29.99 price tag unlike a DS version.
 
In general I think iPhone gaming appeal comes from the price over anything else.
 
Low barrier for entry, so to speak.  It's definitely a different strategy than what Sony and Nintendo has, and I think it works well for it's specific market.

Space Ace has been on the iPhone since July of 2009, and how did I not know this?  What's better is that Dragon's Lair is coming to the iPhone sometime in the future.  This is amazingly awesome.  OK--if you're younger than 30, you might have no idea what I'm talking about, but these games were the bomb when they came out.  I remember walking around at "Showbiz Pizza Place" and spending the 50 cents it took to play this game--wow.  Now it blows my mind that I am now playing games like this in the PALM OF MY HAND!!!   
 
OK, now that's out of my system...I have to say that old games from my past are the games I want to play on my iPhone.  Now, for awhile I've managed never to pay for an app, but then I saw Wolfenstein 3D in the app store for like $3--how could I not get that?  Then the Secret of Monkey Island came out, and I had to get that.  For some reason, I am really looking forward to playing Day of the Tentacle on the phone (although not announced, but come on, it has to happen) even though I have the frickin' disk here with me.  I'll get DOOM once it drops in price, and now Space Ace is mine. 
 
I'm still not convinced the iPhone is a "gaming machine", but for some reason when I see an old school game I used to love--I have to get the thing.  I know a part (really most) of it is nostalgia--trying to relive the gaming glory days of my youth, but another part of it has to do with playing a game in on my phone that I used to play on a $2000 PC blows my mind.  It reminded me of when Street Fighter IV came out, and if I told my 16 year old SFII playing self that in 25 or so years, I'd be playing SFIV on a 52 inch flatscreen HDTV with an arcade stick in my own home and fighting my buddies over the internet--I would have totally lost it. 
 
Yea, so back on topic...I really haven't enjoyed any of the games that has come out for the iPhone.  I felt the controls clunky, or the gameplay shallow.  But for some reason, I love playing these old games on the thing.  Hell, I even started to convince myself that the Wolfenstein controls were pretty good (which they are, for a "console" with no frickin' buttons!!!)  I guess the joy of playing the games I love and the novelty of having them all on my phone is something that appeals to me.  
 
So I say, keep the games coming!!!  Wouldn't mind playing Phoenix Wright on the phone, although that's a "new school" game, it's seems like a adventure game to me.  Funny how I never really wanted the game for the DS or the Wii (which I both have) but the thought of playing games like this on the phone draws me in.  Hopefully that Pac-Man championship edition will be at least more playable than Pac-man.