touch screen phones are a useful compromise. If I'm going to write a lot I want a real keyboard and large monitor with all the features thereof. However often I just need a quick note and I'm not in the office. I would not carry a desktop computer to the airport (I'm old enough to remember the IBM XT luggable computer - built in CRT monitor, not battery: it was portable, but it was a real workout). A laptop is sometimes useful, and it isn't too bad to have one in a backpack, but it is still big and so won't be with you. A phone is the correct size of have in your pocket so you can "do something" while "the refs try to figure out which rule applies to this play".
Phones will always be miserable - but they are the least miserable option in a lot of situations and so I expect people to use them a lot just because the other tools are even worse.
Phones (really, the pocket/handheld form factor) are a necessity and are limited; I agree. We could deliver better text input interfaces for them.
For heavy typers, physical keyboards in candybar phones (.e.g, old Blackberrys, etc.) and landscape-oriented clamshells fix many issues, but those are outre for some reason. Even on-screen UIs could be better. Just arrow keys to move to the cursor precisely would be a signficant improvement.