Apple Insider reveals that:

Sources have now reported that Apple has detailed that Imagination's PowerVR SGX is indeed the graphics processor used in the iPhone 3G S, and that it is "designed for OpenGL ES 2.0." The new 2.0 specification of OpenGL for Embedded Systems eliminates most of the fixed-function rendering pipeline for a programmable approach to 3D rendering using shader programs.

So while we're not yet getting that PA Semi + multicore ARM/PowerVT + OpenCL + Papermaker + ATI gurus system on a chip we've been fantasizing about this year... we're still getting a clear focus on speed from Apple. And that's a Good Thing.

Oh, and yeah, that's totally the Kingdom Come Flash trouncing his golden age and silver age counterparts in the graphic above. /geek.