It's quite an impressive piece of technology, I tested one out at the Apple Store in San Luis Obispo today, but the battery life (claimed to be 8 hrs, but tested to be about half that...claimed standby life of 250 hours), the mediocre, at best, internet connection (AT&T's Edge network needs to be upgraded to faster technology), and the price are kind of off-setting. 

The iPhone won't be available from other providers until 2009 or later... :(

I would love to get one (I LOVE my iPod!!) except that I refuse to use AT&T as my cell phone company.  Its bad enough I have to use them as my land-line phone company because I can't get broadband Internet otherwise (which I need for work).  When its available for other providers I'll buy it then almost certainly.   At least by then they'll have all the bugs worked out. :)

I can't WAIT to get one!  For a long time it's been very disappointing trying to integrate a cheesy cell phone and a Palm Pilot with my computer.  And internet service for cell phones was always really expensive.  With the iPhone, I'll have seamless integration with Apple Address Book, and Apple Mail.  I won't have to pay extra for internet service for my cell phone, and I can get rid of my Palm Pilot.  Besides, the software has been written to be soooo easy to use, just like you've always wanted a cell phone to be.  So $500 may sound like a lot, but for a cell phone, an iPod, and a Palm Pilot that all work seamlessly together, it's a great deal.

Although I am just getting into the market to get a new phone, I buy the cheapest I can get. The only reason I even have a phone with a camera is because it is hard to found one that doesn't have a camera.