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I doubt that the Titan was specifically designed for WM5, but I do think it's pretty clear by now that WM6 should have more RAM that the Titan has.
As to performance, the last (and fatally flawed) Titan ROM had a newer build of WM6 that is clearly faster and more responsive. In fact, the latest Titan ROM is a bit faster than the initial Touch ROM.
Like other MS OS's (Vista a great point), new releases of Windows Mobile have feature bloat with little attention given to performance. It takes a service pack (Vista) or MR's (Sprint) before you see performance improvement.
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