You're joking right? With it's web-browsing and email alone, it's already superior to every other smart phone out there.
Is it? Really? You think Apple will ever develop ePocrates or Unbound Medicine? Those developers WOULD [develop for the iPhone], if Apple would let them. The reason the Palm was so successful was because of the huge catalog of titles available. And for the record, despite all the crap I have on my Treo, the phone works just fine. That's the way it's supposed to be designed, and that's what Apple should ensure when designing the OS for iPhone (which is no more OS X than Windows Mobile is WinXP).