[teraflop]

I wouldn't bet on it. In the "preview" round, Watson seemed to come up with its answers more or less instantaneously. (Or at least, before the host finished reading the question.) My guess is the limiting factor is the quality of the underlying dataset and cleverness of the algorithms, not CPU time.

[andrewce]

Human contestants are also able to see the question typed out (much like it's displayed on the television), so people are able to do this as well.

I'm usually able to read any given question in about a second. Granted, I used to practice speed-reading trivia questions for an hour or so per day (one of the leagues we competed in projected questions via powerpoint), but there's at least one reason most Jeopardy! contestants are able to buzz in almost immediately on most questions.