That's actually pretty interesting. I wonder if it was hard to do a subpixel rendering system for fonts (like ClearType)? I don't have a Nexus One so maybe the pixel density is high enough that they don't need to render fonts like that.
But you are right on the other point -- at 800x480 on a 3.7 inch screen has a ppi of 250 -- or just normal font rendering looks as smooth as subpixel rendering on a computer screen, and I for one would be hard pressed to distinguish between subpixel rendering and normal when looking at text at size 10 or so on that screen -- just because I'd have such a hard time seeing it at all.
I wish we could get proper OLED computer screens.
Since the display rotates, normal desktop sub-pixel rendering algorithms won't work anyway.