I was considering using the car analogy in this debate but there's little point going into it further.
Google will have to up the marketing to convert the iPhone superfans to Android, an easy task if and when people realise what it is capable of, and that it isn't really "complicated" at all.
Apple are going to have to improve the software a bit more than adding little bits and bobs to it like they have in this instance, if they dont, then there will be no reason to have an iPhone for me at least.
It has been a bit hit and miss up to now, but the Android 2.2 OS makes vast leaps forward in the way it works, much unlike iPhoneOS4.
Coupled with the fact you can probably get the phones quite a bit cheaper too.
I see you've linked Slidescreen there, it's a good example yes, I'd actually not heard of it, looks interesting. I'll be having a read about it later on
