We tested with a Nexus and Android/Flash 10.1
It works, little "mini books" are operable and funny, but we doubt it makes real sense on a smartphone; whatever brand.
Main reaon is the available screen size, since a book feeling needs two adjacent pages, and in landscape mode you cannot put a lot of information on each page.
Otherwise it is unreadable. And if you zoom in, you'll miss the flipping features and all what makes a mz3 book unique. THen a simple PDF viewer will be the better choice.
For special purposes it might be nice, like a little photo book, comic book, ...
But I am convinced that only books created for that kind of device make some sense. Expecting a standard book could be easily viewed on an iPhone would result in disappointment. Additionally you have the amount of data that has to be transferred. Still an issue in most regions. Not talking about potential costs.
There might be a niche for an application, and I would like seeing it and learning I am wrong; but I doubt...
For PAD computers (iPAD or future ones based on Android, Win7, ...) it is different and I believe much more suitable, fun and appropriate.