Star Craft will never come out for the iPhone, because what would be the point without the Korean kids kicking butt and taking names?

I agree. I think a combination of heuristic processes and restricted resources make the best recipe for AI. Playing through some of the Brood War campaigns, I thought the biggest challenge with the AI was that it always started with orders of magnitude more money than you had. The game is less fun when you have to spend years collecting resources before you can even consider strategy. Also, with regards to the chess scenario, the supercomputers that beat grand masters are consuming so much more energy than the human body does (provided by the computer's technicians), that in strict terms of advantages they're definitely coasting. It's like comparing an 8-year-old's chess-playing ability with a grand master. A realistic chess AI would be one that consumes no more energy than a human body would, and therefore has to resort to heuristic solutions to make a 'best-guess' with low processing power instead of algorithmically enumerating every possible permutation of the game.

We have a code cyan ("life imitating art") in the prosthetics department.

Nope, camcorders are designed to record exactly what we would see if we were there--minus depth perception of course.