A lot of people don't take iPhone games very seriously, but Epic Games sure does. The company behind Gears of War and Unreal Tournament is porting its much touted Unreal Engine 3 to Apple's iPhone 3GS and iPod Touch. That's the engine used for Gears of War 2. Running on the iPhone.

Anand Tech has posted some hands on impressions of a brief demo, and as you can see from the screenshot, it looks pretty good. Even more surprising, it looks like it controls well too. Right now Epic is only working on the engine, not any games – but the license should be available to developers in the near future.