Update: Sorry about the misinformation. The iPhone uses a retina IPS display, not OLED. Thanks for catching that guys!
Here's what OLED is, explained in 30 seconds or less:
OLED stands for organic LED used primarily in technologies that have screen displays. The biggest difference compared to traditional LCD is the higher contrast ratio (which makes things easier to read) and does not require a backlight to function (which means black really means the pixels are 'off'). It also uses less power, has faster response times, and is theoretically cheaper to produce than LCD or plasma (once technology catches up).
Hopefully that clears some things up. OLED is truly awesome and they weren't lying all along. Though it does make me want to print a huge 100" OLED screen onto my wall to watch some Planet Earth.
What do you guys think? Is OLED worth the hype? Let us know in the comments!