I've been waiting for what, a decade, since VIA introduced padlock to get hardware accelerated encryption in mainstream CPUs. And, just recently, basic support have been introduced but only for AES and nothing else (and if I'm not mistaken (probably is) the padlock is vastly superior to the offerings of AMD and intel :P).
So yes, crypto accelerated hardware is behind and does not support the ciphers that the crypto community (academia/industry) endorses and in all likelihood will never bother catch up since doing it on the GPU will be good enough. Even if it takes another decade.
The AES-NI instruction set was proposed in 2008 and the first intel cpus started shipping almost three years ago.[1] Soekris has had the vpnXXXX crypto accelerators since as long as I can remember.[2]
Blowfish or twofish wouldn't hurt. But I'd be happy with AES, too bad none of my devices have hardware acceleration for it.
The fact that it was proposed in 2008 is quite telling by itself. And when intel introduced it it was in their high-end product lines, to find a processor where AES-NI is less needed would be a challenge.
A suitable integrated GPU would penetrate the market much better and ultimately support products which today use the atom processor. The very same product segment where you barely can use encryption on today (in contrast to a i7 which saturates a fast ssd without breaking a sweat in AES-encryption throughput - without hardware acceleration).
A similar solution would also most likely allow me to encrypt files on my phone without a large impact, even if the manufacturer couldn't care less about security features.
So yes, crypto accelerated hardware is behind and does not support the ciphers that the crypto community (academia/industry) endorses and in all likelihood will never bother catch up since doing it on the GPU will be good enough. Even if it takes another decade.