I reverted mine to 3.1.3 a couple of weeks ago (edit: at some point after the 4.01 release, which appeared to provide only cosmetic fixes). The speed was poor under iOS4, and my Kenwood DNX-7160 radio stopped recognizing my iPhone 3G as an iPod. Reverting makes everything work again, and the only significant features I lose are folders and the unified mailbox. I am inclined to keep it at 3.1.3 until either Apple broadens service to include a new carrier and I upgrade the phone to the current model, or they don't and I bail on AT&T and the iPhone in favor of a competitor.