I have an Iphone as well and really, as a phone it is awesome. As a pocket computer, it's even better. I can access my servers through secure shell, Etc.
The two bad things about them are the battery life, which is dismal, and they are fragile. A lot of my friends got the "Cracked Screen App"...
I made a conscious choice not to have that happen and got an Otterbox case:
http://www.amazon.com/OtterBox-Defen...0236464&sr=8-5
So far the has been dropped 12 feet onto concrete and into snow and into a meltwater puddle without issues...