Samsung's Exynos 5 Dual chip supports hardware decoding for VP8, and it should land in some phone and tablet by the end of the year.

It will be interesting to see what happens with VP8/WebM. Really it looks like Google tried to stymie Apple (which committed itself to H264) first by trying to back Adobe/Flash and then VP8 (and announcing that H264 support would be dropped from Chrome, which AFAIK it hasn't been on any platform). Thus far I don't see VP8 achieving much and Google may just end up sticking with MPEG standards.

Google is a few years too late with VP8.

It would have had an opportunity to take off when H.264 was in its infancy. But now there is simply no use for it.

IIRC the PowerVR GPU inside all the iOS devices already support hardware VP8 encoding/decoding.

Apple just has no inclination to support it. And why would they ? VP8 is significantly worse than H.264 in every important way (quality, compatibility, popularity). Not to mention that Apple is on a very anti-Google path right now.