Slightly off topic, sorry, but this just occured to me....
I paid £260 for my first gen 1 phone with no subsidy...
On the apple website an 8gb iPhone3G costs £343 on PAYG
On the O2 website a 32gb iPhone3GS costs £538 on PAYG
This phone is getting very expensive!!!
The 3G was £93 more expensive than the original Edge phone with no more storage, and the 3GS is £185 more expensive than the 3G, ok a lot more storage but even so surely the NAND prices would have come down over the years...?
To put it another way...
A 8gb iPod Touch is £165.
This means the original 8gb iphone was £100 more expensive than the Touch equivilent. Fair enough.
A 32gb iPod Touch is £283
This means the current 32gb iphone is £255 more expensive than it's Touch equivilent!!!!
Conclusion: We are paying an extra £155 for a compass (about £2.50 in any hardware store), an extra 1MP on your camera and a slightly faster processor....!!
Remember this is just the price of the handset without subsidy!
I love the iPhone, and i am happy to pay a little extra as new hardware functionality is added, but this is getting silly... it's getting VERY expensive!
AND you're still buying a phone that will always be locked to one carrier even when your contract expires!!!