But it's different, right? What the NITs do (if I haven't missed something), is to predict a set of words that begin with the letters you typed. What the iPhone does is to predict what word you wanted to type, even if you missed the keys by one, and then replaces with the correct word automatically after hitting space.

I actually never found the prediction in the NITs particularly useful, as tapping the right words is disruptive and doesn't really make typing faster or more comfortable for me. What the iPhone does seems fairly ingenious, although it is still a crutch that I'd prefer not to be necessary.