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It's not only the amount of letters (and thus sentences) you can get on a screen, but also the readability.
I have a HTC something (my work phone, it's an ugly thing, but, hey, it runs mobipocket) and it will hold only slightly less characters than my PDA. But the letters themselves are much smaller. Which makes it a bit harder to read.
If I look at that picture you added, I'd say it was the same there. The letters are slightly smaller, which makes the letters all crawl up together. Also, the line length is much smaller, which makes it less easy to read (more eye movements as you mustn't only go back to the left, but also have to find the next line).
I think that IPhone could be a nice backup (in case you don't want to take your reader with you), but I wouldn't want to use it for a primary reader.
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