I can certainly see the value of the iPhone for someone who needs real mobile connectivity. I just don't. As Alex suggested, I am rarely far from a desktop machine. I certainly don't spend anything like that on my mobile contract.
@Bloodline I guess you do business on the move? I'm in an R&D department, and don't have much need to travel.
How good are the personal organiser functions on the iPhone? Is it really convenient and fully featured? I haven't yet found anything I will use other than desktop apps for this. I only really derive schedules, appointments, meetings from project plans anyway. If it could perform that function well, that would be a lot more attractive to me. As it is, I only use my phone's organiser as a reminder service, synced to desktop apps.
I think I will not be really happy with a PDA until there is robust and convenient handwriting interpretation. So far, I am yet to be really impressed, though I haven't bothered looking in depth for some time.