Today during Apple’s September 1^st iPod event, Steve Jobs invited Epic games to show off a tech demo for Unreal Engine 3 running on iOS devices. Many people were impressed at the title shown off, known only as “Epic Citadel”, the demo is available now as a free trial for iPhone 4, iPhone 3GS, 3^rd Generation iPod touch, and iPad via the App Store.

The game has you roaming through a medieval town in classic RPG style and engaging in non-traditional, action sword battles in stunning Unreal Engine 3 graphics. The technology that goes into this impressive tech demo is on par with titles running on high-end consoles such as PlayStation 3 and Xbox 360.

[via iTunes]