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I think it's wrong to assume flickr represents the camera market. Not everyone care about putting their pictures online, those who care get an iphone/android/whatever. So of course iphone is trending on flickr. But the mass market of consumers still buy un-connected point&shoot cameras and small non-smart phones.

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I think it will naturally shift soon, given the megapixel race is pretty much over they will soon need more to differentiate their products from competitors.

And let us all hope that "connection" will be considered a differentiating feature after more useful stuff such as sensor size, low light performance, cycle speed and electronic viewfinders have been exhausted.

When selling to your average person who just wants to take a few pictures from time to time I think connection is a better selling point that improved picture quality.

Not if "improved picture quality" means being able to take unblurred pictures in less-than-perfect lighting conditions (i.e. indoors) at all.

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