my 2 cents - I have an iPhone, and I'd never go back. I'm currently doing some work in Abu Dhabi and my clients got me a nokia on the local network ... couldn't believe how outdated the experience is!! I've heard lots of talk about how texting on the iPhone is a pain, but from someone with particularly chunky fingers I can assure you that it's still a gazillion times easier than most. If you surf the net a lot, then the browser is truly unbeatable. Their 'app' store is pure simplicity for adding games and tools (if you're a pilot you just have to check out xplane for the iPhone, it's ridiculously powerful, and the phone works as a yoke ... mind-blowing stuff). So now I have a phone which surfs the net in a really easy to use way, I have all the photos I've taken of my family from the last six years for those lonely nights in a hotel, I've got thousands of songs, videos, games, useful tools, etc., etc.
I know a lot of people think it's a toy - trust me, they're absolutely right. .... and it's one of the best toys you're ever going to have, and with some serious phone / web / email bits thrown in for good measure