One of the best candidates for agile development I have found is mobile app development. Why?
1. Requirements are usually not very clear as mobile app development itself is relatively new- so client demos and regular feedback helps us not to move away from what is required.
2. The mobile technologies have not been explored as much as we have already explored web technologies, so we still have lot of challenges to be faced. This means peer reviews and pair programming can be very helpful.
3. The apps are generally UI extensive, that means they are good candidates for client feedback. We need to get clarity on look and feel, and specially responsiveness of the app.
4. With frameworks like phonegap available and newly emerging augmented reality libraries, complex mobile apps are normally started in POC (proof of concept) mode. With hit and try approaches, it is good to have daily discussions to float ideas and get feedbacks within the teams.