Mobile development Native vs Webcontainer vs hosted

I got my hands around developing a few mobile apps.  I will put my thoughts here.  It all depends what you plan to do.  What features do you need for your app?  The last one I worked on needed OCR (image recognition).  I was developing for both iPhone and android.

When you need to access the hardware, hands down native offers lot of tools. Titanium has ways to plugin native libraries into th app.  I did try both native and titanium.  I am happy camper for both of those.   But phone gap surprised me as well,  I found a way to write plugin for native libraries using phone gap.  My only soap box on phone gap is, I don't like performance of JQ touch yet.  The is lot of room for improvement.  

If your app is a simple one,  that uses simple device features like camera and geo location.  You could do with a webcontainer (Phone Gap + JQTouch/Sencha Touch).    But, I still have not found a web library (open source ) that does good job for UI.  Sencha touch does a good job for web container UI but, it's not free.  It's gpl v3 license.  Sencha touch costs about $199 for now.  Not too bad.  Combination of Sencha Touch, HTML5 and Phone Gap could give you a decent mobile app.

Hosted apps, for now are too slow.  With bandwidth becoming premium,  I'd stic to native for UI and hosted svcs for data.  REST based services to retrieve data from server. 

So for now, am sticking with free version of Titanium.  The main reason being, that i can develop both Android and iPhone apps from the same code base.  However, their supported version costs an atrocious $7500 which is too heavy for an entry developer.  Adobe's flash builder is also capable of delivering native apps.  My next task is to take a look at flash ( I know flash is dying).

BTW,  Phone Gap is now owned by Adobe.  Adobe donates Flash to apache open source foundation.  

Please share your thoughts.