What iphone was a LOT better at than everyone else was UX. Of which speed is one component, of course. It's funny how much people never get it although it happened in front of us, it happened to us. At the time I was working at Nokia Research and I remember my girlfriend telling me how his boss got this wonderful phone that you can take photos with and you can view them, etc. The funny thing is that I had such a phone since 2001. I have been working with smartphones for 6 years then, she knew it, she listened to me when I told her or others what I was doing (and then listen to others responding "yeah, but phones are for making phone calls"). She saw me browsing the net on my phones (a 9210 communicator and then a 9500), send emails from the beach, etc.
Still it somehow didn't register. Because it looked like something that she'd never use. And then the iphone that did a lot less made her and basically everyone understand what a smartphone is. (Even though by then symbian smartphones were pretty common, most people didn't use them as smartphones.)
So no, it's not simply the speed. It's the UX. And even if we talk about speed, it's still not the speed, but it's the perception of the speed, which a lot has been written about: delay (lagging) matters a lot even if speed on average is OK.