I bought "Skies of Glory" for Android yesterday. You can play it in single-player "Campaign" mode or have multi-player dogfights on the Internet with Android and iPhone users. 

It plays *really* well on the Nexus One. Very responsive and fast. 

Here is a screenshot I took on my phone using "Shootme!". 

Screenshot of

....and another taken during flight, you can see the screen-refresh boundaries in this shot. The capture is of a very dynamic scene. 

Flight