I bought one because I was in desperate need of a phone (the one I had was so old it literally had a defiant mind of its own). I was originally looking at the Nokia 6230, but out of 6 cingular stores, no one carried it. I was looking for a phone that was Bluetooth enabled and NOT a flip phone, hence the Razor was a no-go.
Finally, I said "just gimme the damm iTunes phone!" Its not that bad at all. Same build as the e398, but with a dedicated iTunes button. The 100 song limit is something that I am eagerly awaiting to be cracked (which is, btw, currently under progress by many cell phone enthusiasts).
I like it. Its got a nice design - light, fits nice in the pocket - and I've already added my custom ringtones and wallpapers effortlessly via Bluetooth. The 2-year contract is not an issue for me, as I ve been with cingular almost since its existence.