The touchscreen is so much responsive. Now I don't have to use so much pressure to use the scrollbar especially on the right side of the screen. Before the update, I thought I had a defected touchscreen.

As for the camera, whenever I move the camera around....it's so much smoother.

The new Flash 9 update is great. I was at the Apple store earlier today to test out the iPhone's web browsing capabiliy to browse my website and I was disappointed that it had no flash support and was a bit slow to load.