All in all, SGX drivers are ok. There are a few bugs here and there, some of them I would like to see fixed (like the precision issue that sometimes is visible on certain scene, see the f1-spirit thread for some examples, or sometimes I get just crash if I try to use array with mixed float for vertex and texcoord and ubyte for colors) but they works. Only limitation of latest drivers is the absence of x11 support, so only fullscreen is available, but on the small screen of the Pandora, this is hardly an issue at all...
Of courses, horsepower of the current GPU (even on the Gigaghertz) is not stellar, and some games/emus are hold back by that (mupen64plus is slowed down, because using FB rendering on small FB increase speed, and DooM III is a slide show on gigahertz), but I'm sure SGX on the Pyra will have much better performance (it had to, because rendering a FullHD screen will require on lot more fillrate to begin with).