No. There are two major limitations - no running in the background, and no access to telephony. In other words, no background caching of RSS/video, and no spiffy and usable SMS application, to take just two examples.
Of course, people seem to forget that this SDK is for both iPhone and iPod Touch, and given that the latter lacks telephony, this could arguably be a case of keeping the platform coherent.
The requirement that development takes place on a Mac is another hurdle, and one they're unlikely to remove, as it helps drive sales of Macs.
And, as others have pointed out, the article is both USA-centric, and seems to be more based on marketing boilerplate rather than any original research.
However, the SDK and tools look attractive, and the AppStore is a huge help for any small-time developer. If I give in and get myself a Mac, I'll definitely get the iPhone SDK as well.