Four core iPhones and firmware 3.0

One of the most interesting rumors I've been tracking here at Macworld Expo in San Francisco surrounds the mysterious four-core iPhone. While the current iPhone has (roughly) the processing power of the Sony PSP, an upgraded four core iPhone would slaughter pretty much every portable gaming platform on the market. The other part of the story is firmware 3.0, which is said to be required on the iPhone "quad."

Imagination Technologies will announce the PowerVR SGX543 at CES tomorrow (TGDaily), it's the firm’s first multi-core capable GPU technology and Apple could have access to it.

Judging how well games like Brothers In Arms - Hour of Heroes (pictured) and Armageddon Squadron look and play on the current iPhone I think that Nintendo and Sony are probably quite worried about about the next iPhone hardware platform.

Or are they?