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Over on Slate, Tim Wu makes some good points on why the iPhone isn't as revolutionary as it could be.

If Apple wanted to be "revolutionary," it would sell an unlocked version of the iPhone that, like a computer, you could bring to the carrier of your choice. An even more radical device would be the "X Phone"—a phone on permanent roam that chose whatever network was providing the best service. Imagine, for example, using your iPhone to talk on Sprint because it had the best voice coverage in Alaska, while at the same time using Verizon's 3G network for Internet access. Of course, getting that phone to market would be difficult, and Apple hasn't tried. The iPhone does have Wi-Fi access, which is a giant step forward. Wi-Fi has been kept off American cell phones for years, for reasons that have never passed the smell test ("for security reasons" or "to protect battery life"). The real reason the cell providers have kept Wi-Fi out? To keep consumers eating up minutes on the carriers' networks and to prevent people from grabbing ringtones and other media from their computers, which the industry calls "revenue leakage." But while the iPhone has Wi-Fi, it doesn't let you do one very obvious thing with its Wi-Fi connection: make phone calls.

At the same time, Jobs would need clout a lot greater than that he was able to show with the music industry to force the entire telecoms carrier market into deals that would flip their business model and gnaw away at their 'minutes' income in this way -- using wifi for Skype; jumping between carriers (and who would compile that particular bill?). I can see what Apple are up to in getting an exclusive carrier and wringing two year contracts out of people, though. That way, they make sure the phone is tied down for usage for a long, long time. It remains exclusive. Maybe it is also a poor call by Apple -- that kind of deal, if done over here, would put me off buying an iPhone. Or maybe not. If my iPod is nearing its time of passing, as it will be by the time iPhone launches here, the iPhone comes in at not all that much more than a high end iPod on its own. It IS also a handheld that would work seamlessly with my Macs. Part of the problem perhaps is that people are viewing it as a phone, when it is a handheld device/iPod with built in phone. The iPhone to me is NOT all about the phone. It is about a born-again Newton updated for a new century, mated with an iPod and wih a phone on top of it all. I don't really get all the fussing by some over keyboards and texting on the iPhone. I had one of the first Ericsson smartphones in the 90s and it had a touchscreen that I much preferred for texting. It was far faster and more comfortable than tediously punching your way through the letters on a single key. I also have used an XDA on and off and always used the touchscreen (I have even, in an emergency, tapped out an entire story for the Times using that dinky screen and a stylus!). I found Blackberries a pain. Then, I don't care too much for mega-texting anyway, or emails powered by thumbs -- too much work; I'll make a call or wait til I'm on a proper keyboard.