Even if their app store takes off, it's still going to be the same rinky-dink app-store style games you see on phones, plus emulators. And with such a small market base, I can't see many serious developers writing for it, so, at best, you can expect the usual ports and half-assed clones of popular IOS/Android games.
The OpenPandora's stuff is mostly on http://repo.openpandora.org/ now. It seems to coordinate the other places.
Granted, I don't see how anyone can play [S]NES on a touch screen (I've tried), but $500 is too steep for a [S]NES emulator. So you come up with a smartphone without the phone, and a game system without the games. Thus going back to my original point: it's over-engineered and crazy expensive, it's putting itself up against smartphones AND the big-name game consoles, and it doesn't dazzle on either front. It's not price-competitive, not power or feature competitive.
I'm not saying it's not a cool idea, or even that I wouldn't love having one to play with, but not at $500. I can't say how far above the "Sweet spot" (price/volume intersection) they are, but I can say for certain that the price alone cost them 1 sale. I'd not even be put off by a 3-month wait at a more sensible price.
To be fair, there are issues with the Pandora, but it's still pretty damn cool.
There are a couple of interesting games that are somewhat Pandora specific (like Super Geometry Dust), but as usual it's mostly fantastic for emulators where you've got
Sega Megadrive (Americans call it the Sega Genesis)
Residual (Grim Fandango)
Which are all pretty much spot on
Then you have some more work in progress ones, like
Playstation (playable enough for FF7 but some annoying lag in places)
Amiga (ugly UI to select stuff)
N64 (playable for Mario 64, but it's not ideal)
And probably a couple of others that I've completely forgotten.
I'm hoping that the UI improves as well - something like meego would absolutely rock, and it should work quite well