GameCyte has gotten a hold of the programmers of Quake 3 for iPhone/iPod Touch and have made it very clear that this is real (video here). But, unfortunately the team doesn’t have any plans to make the demo public.
The programmers spent between 8 and 12 hours getting the game running on the iPod Touches using jailbroken devices, no official SDK, and modified code that added basic accelerometer support. They also claim that running a full 64 player match wouldn’t be out of the question.
What is in question is why the heck they aren’t going to make it public? This thing would be huge for anyone with a jailbroken iPod Touch or iPhone. According to GameCyte “they’re madly coding … to port their own Space Trader to iPod and iPhone, hopefully in time to be released in June with the official iPhone App Store.”
The game looks pretty cool though and just shows you what you can do on this little device with a little bit of elbow grease and some knowledge to back it up.