My issue with Swype-style - after having used it for about 8 years before switching to a phone with a keyboard (Android Blackberry) - is that having to wait for each word to confirm it got the right one is where the slowdown is. Touch-typing means I can keep going without confirming, because when I do mis-type, I can feel that my finger wasn't positioned correctly without having to do any visual confirmation.

Based on reactions from co-workers though, it seems I'm much more efficient at touch-typing than most of them, even on a fullsize keyboard. And the experience does translate to a physical phone keyboard, even at the smaller size, so that may well be where some of the disconnect is.

Note also when touch-typing on my phone, I get the full speed by using both thumbs, not just one.