I agree with the sentiment that Engadget has declined deeper into Apple Fanboy-ism since Ryan Block left, however...

Josh does demonstrate the responsiveness (or lack thereof) of the N900's screen and I can tell you as an American, this demonstration will unfortunately resonate with many US consumers for whom the iPhone, and to a much lesser extent extent the Palm Pre and Android, are the only touchscreen phone(s) worth consideration.

It's pretty hard to argue that a capacitive screen isn't more satisfying and easier to use when navigating with your finger. Perhaps not by much, but Josh's demo is telling--whether you like it or not.