I tried out an iPhone at the local Apple store, and decided not to buy this version, at least not just yet. It took me forever to type a URL into Safari (mostly because of my long fingernails!), but it would also raise my phone bill $20 a month. I'm not convinced that it would be as functional for me as my current Treo 680, where I can make the small keys work fairly well with my fingernails. If the iPhone would connect with a bluetooth keyboard, then I might find it more useful for email on the road.
I really want BT DUN (BlueTooth Dial Up Networking). My old Sony Ericsson T616 BlueTooth phone acted as a modem for my Mac laptop (at 9600 baud it was painfully slow, but I was able to download my email to my desktop computer, not to my phone). I've tried unsuccessfully for the last hour or so to make my Palm Treo 680 to do BT DUN (the website shows that I can, I downloaded the drivers but they don't seem to be working), but I can still download email to my phone and do minimal web surfing, if I need to (not often). So far the BT DUN option is not available on the iPhone at this time. So, it's not worth it to me to replace my 8-month-old Treo with a $500 device that will cost me more each month. I think it needs a few more features before it will do what I want to do. I am also waiting for the AT&T speed to improve. I bought one of the first Macs in January 1984, and it cost me a lot to keep upgrading it before I finally replaced it with a Mac SE (remember the 80s?). That experience taught me to wait for a later version of any new technology. They work out the bugs, expand the features, and maybe even lower the price.
As an Apple Distinguished Educator, I know I'll get a chance to play with one at our Institute in a little over a week. Maybe after that time, I'll change my mind, but right now, I think I'll wait for the next version.