I just came back from the iPhoneDevCamp where Chi-Hua Chien, a partner at Kleiner Perkins Caufield & Byers and Stanford GSB alumn,  was the Friday keynote speaker.

Chi-Hua is actively involved in the iFund, KPCB’s $100 million iPhone investment fund.

Chi-Hua first gave a quick overview of how the iFund came to be and how it is going today.

I found particularly interesting  where they think the big iPhone hits will come from, the big ideas:

• Mobile commerce
• Real time everywhere and anywhere
• Local search
• Healthcare
• Augmented Reality
• Real-world gaming

Chi-Hua was quite disappointed by the fact that most of the current top apps fail at the three criteria he values most:

• innovation
• value creation
• significance

These criteria and the previous themes frame pretty well the iPhone apps VCs want to see. Unfortunately, right now the top free app is probably the opposite: Do Not Press the Red Button. The market (and hopefully some intervention from Apple) will certainly correct this with time, just like it in the case of Facebook applications.

Update: the slides of his presentation are now available below: