To be honest, I'm very impressed: given where Zii is coming from, releasing such a nicer chip so quickly is both impressive and surprising. The clock speed is nice, the perf increase is nice, 1080p HP is nice, heck - even the 720p decode power number is certainly quite nice (especially for a programmable solution on 65nm)!
The one thing I'm genuinely worried about is pricing. The previous Ziis were big chips, and it seems to me this one has increased in performance faster than the process shrink... So even though a 1GHz A8 is very nice, if the price point means it's competing mostly versus 2x1GHz A9s on 40nm, it's slightly less impressive. Still, this promises them a spot in the high-end market, and indicates what nobody could have believed just one or two years ago: the application processor market is getting more competitive, not less. How many and which companies will begin to regret their decision to invest in this market remains to be seen.