According to IntoMobile, despite only being the eighth-best selling phone for T-Mobile, the Android-powered G1 is the company's most profitable handset. When you factor in its price and the required data plan, it's easy to understand why. That said, the article's author believes that consumers are fascinated with touchscreens, noting that Apple's iPhone and RIM's BlackBerry Storm are the profit leaders for AT&T and Verizon, respectively.
I'm not sure that touchscreen is the big factor here. Having a consumer-oriented product (yes, the Storm counts since it's more consumer friendly than other BlackBerry devices) that works well and requires a data plan is more meaningful than just having a touchscreen. People were fascinated by the Samsung Instinct for Sprint, but the phone didn't take off the way the company wanted it to; a mediocre phone with a touchscreen is still a mediocre phone.
What do you think? Are people just drawn to the sexiness of capacitive touchscreens? Or do people just flock to good phones?